Retirement Costs Surge as Living Expenses and Expectations Rise
The annual income required for a moderate retirement lifestyle has increased by £8,000, highlighting the impact of rising living costs and changing lifestyle expectations.
- A single person now needs £31,300 annually for a moderate retirement, up from £23,300, due to increased living costs and expectations to support family financially.
- The Pensions and Lifetime Savings Association's research indicates rising food and energy prices as major contributors to the cost increase.
- Retirees' desire for social experiences, such as dining out and holidays, has grown following the pandemic, influencing retirement cost calculations.
- The state pension's 8.5% increase in April to over £11,500 is seen as a crucial support for achieving a moderate retirement lifestyle.
- Women face a significant gender pension gap, needing to work an additional 19 years on average to retire with the same savings as men.
The Telegraph 
