According to McCarthy Stone research, around 14 million UK adults aged over 55 are potentially missing out on £13,000 each year. The estimated figure of £13,000 per year is based on the combined annual value of commonly overlooked financial support. More than half of people say they haven't applied because they didn't think they would qualify, and 60% have never explored financial options for the same reason.
More than a third don't know about the money-saving help they're entitled to, and 43% say they've never even checked what they're entitled to. Awareness of specific benefits is low: only 3 in 10 are aware of council tax reductions, 28% are aware about energy support, and 39% are aware about Attendance Allowance. The breakdown of the £13,000 includes Pension Credit average at £2,600, Attendance Allowance midpoint at £4,750, council tax single person discount average UK Band D at £525, energy support and winter payments conservative estimate at £300, travel discounts Senior Railcard and coach discounts at £200, leisure and lifestyle discounts conservative estimate at £1,000, and annualised value of later-life shared ownership savings at £4,000.
This research shows households could be missing out on millions in financial and housing support simply because they don't realise what they're entitled to, where to find out more or how to claim.
A large proportion of Brits, 87%, aren't factoring housing into their long-term financial plans. Homes England, the government-backed shared ownership scheme, helps people aged 55 and over access retirement living at a lower upfront cost. McCarthy Stone's Home Buyers Help, with Homes England, allows buyers to purchase up to 75% of a retirement apartment and pay no rent on the remaining share, and the scheme is available to households earning £80,000 or less.
' She added, 'Planning and research is key when it comes to having the power to choose the retirement you want. ' The specific methodology used in McCarthy Stone's research to estimate the £13,000 annual figure has not been disclosed, and it is unknown how many people have actually applied for and received the financial support mentioned in the report.
Planning and research is key when it comes to having the power to choose the retirement you want. If you've built up equity in your property, it's worth exploring all avenues, as it may not be practical to stay in your current home forever and there are other options when it comes to supporting an independent, but safer and more secure lifestyle.