The findings of the latest Saga Quarterly Report reveal a sharp fall in standard of living for older generations. For the third quarter in a row, Saga's Quality of Life Index has fallen, as soaring price levels continue to erode living standards.

Dr. Ros Altmann, Director-General of Saga, commented:

“Although large numbers of older people, with good pension incomes are doing well, that does not apply to all. We have uncovered some worrying trends among the over 50s and, while many commentators blithely assume that the older generations are much better off than the young, this does not apply across the board. In particular, it seems those in their fifties are faring even worse than the older groups, suffering faster income falls and rising long-term unemployment.”

Older people are suffering higher levels of inflation than the country as a whole. The Saga Quarterly Report reveals that those in their fifties face higher consumer price inflation than the rest of the population and also highlights that even the Government’s own measure of pensioner inflation (ONS pensioner rpi) is over 6%.

Saga’s survey also uncovered the major worries for the over 50s. By far the biggest concern was the cost of living, followed by their general income level and particularly their savings income. These concerns were much greater than worries about their health.

Concerns about care funding rose sharply in the past quarter. This was the worry that saw the biggest increase since the previous quarter which could be as a result of the publicity surrounding Southern Cross care homes and the Dilnot Report on care funding reform.