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Children’s Pensions: 400,000 Pensioners in Hardship/ 5.11.2011• Administrator• Posted At 01:00 PM

According to the Consumer Credit Counselling Service (CCCS), a debt charity which gives free financial advice to struggling consumers, over 400,000 pensioners are in financial difficulty. The charity has described financial difficulty as either three months behind on debt repayments.

As modern living adds years on to our lives, saving is more crucial than ever to ensure that our later years are not spent in poverty. This is especially true for the future workforce, as children born today are twice as likely to reach the age of 100.

It is possible to take out a children’s pension to ensure that your child or grandchild is taken care of in their elder years.


Coupled with the grim news, the CCCS has submitted predictions that the financial state of the elderly is “likely to deteriorate considerably” over the next year. Factors such as inflation, which stands at over 5%, are making the cost of living climb faster than most pensioners can keep up.

Additionally, pensioners looking to safe-haven investments such as fixed-rate bonds are being punished by low interest rates. The highest performing bonds are at 4.65%, while inflation stands at 5.2%.

Experts calculate that the actual rate of inflation for pensioners is much higher at over 6%, as a larger portion of their income is spent on food, energy, and other commodities badly affected by inflation.

If you are looking for an affordable way to safeguard your later years, consider investing in a stakeholder pension.


Many older people who are hard-pressed to make ends meet or do not have adequate pension savings have turned to equity release. Sometimes called a “reverse mortgage,” this allows pensioners to release capital from their property but also continue to live in it.

However, while most people look to have their mortgage paid by the time they reach 70, the CCCS says that this is “just a distant dream” for a large number of older people in the UK. This is because for many, a lifetime of earning a low income has necessitated loans and other debt, which follows you even in retirement.

If you are looking for a new way to start significantly saving for your future, fill in our pension enquiry form and an expert can help you find the right pension for you.

It is important to take these precautions while working, as CCCS reports that retired people have severely limited options concerning how to increase their incomes.

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Interested in speaking to a qualified professional about your pension and annuity options? Fill in our quick pension enquiry form



  1. blanchwood
    posted on 06 November 2011

    If I refinance now I’m not sure I can afford a 15-year mortgage. Isn’t the payment a lot more? but glad I found the “Official Refinance” and I was able to refi

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