The average British pensioner survives on an income of £12,151 a year and 40 per cent live on less than £10,000, according to a new report from Prudential.
The Pru estimates that an additional £4,000 annually is needed to enable pensioners to live 'comfortably'.
The study reveals "how far behind the rest of the population [older people] are in terms of disposable income", commented Prudential's retirement income director Ali Crossley.
She said planning early for retirement is "paramount", since a personal savings or pension stash of around £360,000 is needed in order to guarantee a pensioner the optimum income of £24,000 a year.
But the study showed that over two million pensioners also owe over £11,500 in unpaid debt, compelling 15 per cent to work after retirement and over ten per cent to sell off assets which they had intended to pledge to family.
However, retirement property specialist Economic Lifestyle has claimed, meanwhile, that each of the 6.3 million retired homeowners in the UK accrued £16,265 in property wealth over the past twelve months.For more information about retirement planning, click here.
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