Many pensioners are getting by on a limited income to cover essentials and other daily costs. However, this is set to be swallowed up by soaring bills which are already starting to drop onto doorsteps.
A particular concern is the rising cost of energy, with the regulator Ofgem already announcing a rise to the price cap of 80 percent.
The consultancy group Cornwall Insight predicts the typical energy bill amongst Britons will rise to £6,616 by April.
Analysis from Sky News has shown the full state pension is likely to increase to £10,600 from next April – if inflation were to remain at 10.1 percent by September.
But this would mean the cost of energy would take up a substantial – 62 percent – part of a person’s state pension income.
It was temporarily suspended this year due to warped earnings statistics as a result of COVID-19, with a double lock implemented instead.
However, with inflation set to continue to soar, any increases to the state pension sum are likely to be dwarfed by the demands of other costs.
More imminently, the energy price cap will rise to £3,549 from October 2022, Ofgem has confirmed.
In response to the latest price cap news, Caroline Abrahams, Charity Director at Age UK, expressed her concern.
She said: “Millions of pensioners will now be coming to terms with the reality of what it means for them: the prospect of trying somehow to get through the autumn and winter with prices soaring and yet with very little flex in their fixed incomes.
“It’s a truly frightening prospect and one that most could not have prepared for, and never expected to face at this point in their lives. I think a lot of older people will be utterly bewildered that it has come to this and will also feel badly let down, and I can’t say I blame them.
“We are fast approaching a national emergency which will leave a significant proportion of the population unable to afford even a basic standard of living.
“Every day older people are telling us how scared they are; they need urgent reassurance from the Government that they will not abandon them.”
The Chancellor Nadhim Zahawi has attributed the rising price issue to the invasion of Ukraine, but insisted help was on the way.
While he acknowledged the news would cause “stress and anxiety” for many people, he also pointed towards the support measures the Government has rolled out.
Mr Zahawi added: “Help is coming with £400 off energy bills for all, the second instalment of a £650 payment for vulnerable households, and £300 for all pensioners.
“While Putin is driving up energy prices in revenge for our support of Ukraine’s brave struggle for freedom, I am working flat out to develop options for further support.
“This will mean the incoming Prime Minister can hit the ground running and deliver support to those who need it most, as soon as possible.”