Pensioner poverty set to hit TWO MILLION - as Labour warned it 'must do more'

With the UK's pensioner population projected to reach 12.7 million this year and exceed 13 million by 2030, Age UK fears rising numbers will inevitably push more into financial hardship.

The organisation is urging ministers to intensify efforts to address the crisis, arguing there is no room for complacency when tackling deprivation among the elderly.

As part of its Crisis Hiding in Plain Sight campaign, the charity is pressing Labour to take more decisive steps.

New research from Age UK reveals that £2.1billion in Pension Credit remains unclaimed annually - a 60 per cent increase compared to the previous year.

Around one million pensioners who qualify for the benefit are failing to receive it, missing out on an average of £50 weekly or £2,600 per year.

The charity's analysis of Department for Work and Pensions (DWP) figures shows an additional 120,000 pensioners have joined the ranks of those not claiming their entitlement.

Single women are disproportionately affected, with 470,000 not receiving Pension Credit compared to 150,000 single men and 200,000 couples.

Those aged over 75 are also more likely to miss out, with 570,000 in this age group not claiming versus 260,000 under-75s.

Beyond unclaimed benefits, the cost-of-living crisis continues to squeeze pensioners who depend primarily on the State Pension.

Annual energy bills now stand at £1,758 under the current price cap, consuming 15 per cent of a full new State Pension, and an even larger share for the 4.4 million pensioners receiving less than the full amount.

This comes as pensioners have increasingly been flat-sharing in student-style accommodation as they struggle to stay financially afloat whilst amid the record cost of living strain and low income.

Polling commissioned by Age UK paints a troubling picture of how older people are coping four years into the crisis.

Over four million pensioners said they would reduce their electricity usage this winter to cut costs.

Two million reported they would bathe or shower less frequently, while 690,000 indicated they would skip meals to make ends meet.

Caroline Abrahams CBE, Charity Director at Age UK, said: "As a country we need to do a lot more to tackle poverty among older people, a social ill set to worsen as our population ages we fear, unless something changes and soon."

She called for a system where low-income pensioners receive support automatically rather than navigating complex application processes.

"In our view the Government's Pension Credit take-up initiative needs turbo-charging this year and we urge Ministers to commit to that," Abrahams added.

The charity's national advice line assisted more than 6,000 older people with benefit applications during 2025, identifying over £36 million in support, averaging £5,900 per person.

Age UK is encouraging anyone concerned about winter costs to contact their helpline on 0800 169 6565.