After a turbulent year, the Saga Quality of Life Index (QOLI) finally shows signs of stabilising. In its latest Quarterly Report, the Saga QOLI index remains steady on the previous quarter, albeit still firmly in negative territory. True to form, despite their own economic woes this year, one in three older people are providing financial support to their children and around half will donate to charity this Christmas. Such generosity is a valuable part of our society.
Tentative signs of stabilisation in Quality of Life
Dr. Ros Altmann, Director-General of Saga, commented: “After falling consistently throughout 2011, I hope that the first signs of stabilisation in our Quality of Life index will turn into a solid improvement in 2012. It is also heart-warming how much the over 50s are helping others, despite high inflation, by supporting family and charity. These really are generous generations.”
Throughout 2011, Saga has been tracking trends in health, happiness and standard of living for the UK’s 21 million over fifties. The findings have been pretty gloomy so far, with older people reporting continued declines in their quality of life relative to 2010.
Saga Quarterly Report for Q4 suggests some over 50s planning to increase spending again
However, after the first three quarters of constant deterioration, Saga’s final Quarterly Report for 2011 shows a tiny glimmer of optimism. The survey of around 10,000 over 50s shows that more of them are now planning fewer cutbacks in their discretionary spending – such as short breaks or going to the cinema – so maybe they will boost the economy a bit next year.
But others still struggling and cutting essential spending such as heating
There are still large variations, though, especially across socio-economic groups and overall, one in five (19%) actually report cutting back their essential spending as a result of high inflation and, in particular, cutting back on heating is a noticeable feature as fuel costs have soared.
Inflation is by far their biggest concern
Worry over crime has increased this quarter, perhaps as a result of August’s riots but fears over living costs remain by far their biggest concern, well above health worries with a third of people over 50 (33%) anticipating that inflation will be above 6% in a year’s time. On average, they expect it to be 5.2% showing that most expect their experienced price rises will be way in excess of the Bank of England’s target of 2.0% over the coming year.
Delaying retirement in response to rising living costs could be good news
The Q4 Saga Quarterly Report shows that many of those in their 50s and early 60s are delaying retirement in response to the rising cost of living. This may also boost the economy by ensuring they have higher incomes than if they were trying to live only on their pension savings.
Key findings:
– 32% of over 50s are providing financial support to their children and grandchildren.
– 46% will give money directly to charity this Christmas – the older you are, the more likely you are to donate with 53% of people over 75 planning to give money to charity this Christmas.
– 61% report cost of living as a greater concern than it was 12 months ago with people in their early 50s and those from lower socioeconomic groups most worried at 70% and 77% respectively.
– 32% are cutting back on their heating compared with a year ago.
– A third (32%) are cutting back on their short breaks but that is better than 41% last quarter.
– More than one in twelve (8%) are delaying their retirement in response to rising living costs
– Despite financial pressures, only 3% have downsized.
Source : Saga
