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On The Edge

Published on 27 May 2025 08:30 AM

New Report Reveals that Older Londoners are Losing Sleep over Financial Struggles

  • Research carried out with older Londoners shows many are struggling daily
  • 25% of older Londoners over the age of 80 are living in poverty
  • Older Londoners are suffering anxiety about paying bills

A new report from Age UK London highlights the mounting pressures facing older Londoners, with many struggling financially, facing digital exclusion, navigating the increasing costs of housing and home maintenance, and dealing with the mental health toll of financial insecurity.

The report titled: On the Edge: The impact of financial pressures on older Londoners goes beyond the figures to look at everyday experiences and reveals how growing economic hardship is deeply affecting older Londoners' wellbeing, leaving many anxious, losing sleep, isolated, and unable to afford essentials. It is the first piece of research of its kind in years, focussing specifically on older Londoners and their everyday financial challenges. The report provides a unique view of the lives of 300 older Londoners in their own words.

Margaret, aged 79 told Age UK London “I worry but there is nothing I can do about it. I sold all the jewellery of any value that I had. I got £127 for a Hatton Garden bracelet with a diamond in it, my diamond engagement ring and a plain gold ring. I now have nothing else to sell.”

Trust for London’s 2024 Poverty Profile[i] showed that 22% of Londoners over the age of 50 were living in poverty - 4% higher than the rest of England (18%). One in four (25%) in the 50-54 and 80-84 age category were living below the poverty line.

The key findings from the report included:

  • Financial insecurity is leaving some older Londoners in a constant state of anxiety about the future.
  • Many older Londoners say that they are not receiving help with their energy bills even though they say they need it.
  • Nearly half of respondents reported finding it difficult to ‘shop around’ for more affordable prices and better deals when it comes to food shopping.
  • Some older Londoners are unable to afford repairs and maintenance, leading to vital home repairs being postponed indefinitely.
  • Caring duties impacts the ability to work for some older Londoners, with most carers only working part-time or not at all, and many not receiving any support for the care they provide.
  • Challenges with accessing the internet, including the cost of getting online means that many older Londoners are at greater risk of financial exclusion.
  • The cost of living is leading many older Londoners to continue to work long after pension age or to return to work after a ‘first retirement’.

Commenting on the findings, Abi Wood, CEO, Age UK London, said:
"Older Londoners are facing significant financial pressures that are severely affecting their mental health and wellbeing. No one should be forced to work past retirement, live in deteriorating housing, or suffer financial anxiety in isolation. Urgent action is needed to ensure financial support from the state reaches those that need them the most.  It is crucial that rents are made more affordable, and mental health support is available for older people struggling with financial insecurity."

Many of the older Londoners surveyed were impacted by rising rents with private sector rents rising by 8.7% in the past year - this has pushed many into financial hardship. Additionally, older people told Age UK London that they are not making vital repairs to their homes due to costs, which leave them in unsafe and deteriorating conditions. Many older people worry about affording rent, repairs, or how they will manage costs if their partner passes away.

When it comes to retirement and employment challenges older Londoners are working well beyond their retirement age despite poor health in many cases because they cannot afford to stop working. Some pensioners feel forced to return to work after an initial retirement, simply to cover their basic costs.

Abi Wood, CEO, Age UK London said: “Our research shows that many people were struggling long before the announcement on means testing for the winter fuel payment was made.

“Four in ten eligible pensioners in London are not claiming Pension Credit, leaving over 125,000 older Londoners without much-needed financial support. This is because older people struggle with lengthy government forms, digital-only applications, and a lack of clear guidance on eligibility. It's vital that older Londoners struggling with heating their homes receive the support they deserve.”

The most worrying finding in the report is the effect that financial insecurity has on mental health and wellbeing with many older Londoners feeling anxious about the future. They worry about running out of savings, facing unexpected costs, or losing government support. They regularly stress over bills, such as energy bills, rent increases and mortgages with many respondents expressing deep distress over financial instability.

Some older Londoners are experiencing loss of sleep due to financial worries, and some report that the inability to afford leisure activities and social outings is worsening their isolation.

Countless older Londoners rely on adult children, friends, or relatives to help with food, financial struggles, and emergency costs. Thousands of older Londoners are accessing food banks, local faith organisations, or community meals as their financial insecurity deepens. Some respondents feel embarrassment or reluctance to accept financial assistance, making it harder for them to access support when needed.

Abi Wood concluded: “Our research has highlighted that we are living in a city where there are older people living on the edge of society, who are skipping meals, sitting in freezing homes and suffering anxiety about how they are going to pay their bills or get their next meal. This is a very real issue, happening now, these are the people we are sitting next to on the bus or our next-door neighbours.

“London has the fastest growing ageing population in the UK, so we all have to ask ourselves is this something we are happy to accept as part of growing old in the city or are we going to support them and give back for the contributions they make as workers, carers, volunteers, campaigners and so much more.”

Age UK London is calling on local, regional and national government, businesses, and communities to act decisively in response to these findings. Initiatives such as simplified benefit applications, stronger rent protections, and improved mental health support can help older Londoners navigate financial difficulties with dignity and security.

 

[i] Trust for London, 2024, London Poverty Profile showing Department for Work and Pensions’ Households Below Average Income data.