Half a million pensioners still lumbered with a mortgage in retirement

Half a million pensioners are still paying off their mortgage in retirement, while more older borrowers are taking out home loans. Will your pension cover the costs?

Model of a house next to a pile of coins, with question marks superimposed over the image
(Image credit: Sakchai Vongsasiripat via Getty Images)

Pensioners have already seen their retirement income squeezed thanks to inflation – and recent research suggests mortgage costs could be adding a significant burden for around half a million pensioners.

The cost of a comfortable retirement has skyrocketed in recent years. Figures from the Pension and Lifetime Savings Association (PLSA) suggest the average two-person household now needs an annual income of £59,000 to enjoy the finer things in their golden years.  

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Katie Williams
Staff Writer

Katie has a background in investment writing and is interested in everything to do with personal finance, politics, and investing. She enjoys translating complex topics into easy-to-understand stories to help people make the most of their money.

Katie believes investing shouldn’t be complicated, and that demystifying it can help normal people improve their lives.

Before joining the MoneyWeek team, Katie worked as an investment writer at Invesco, a global asset management firm. She joined the company as a graduate in 2019. While there, she wrote about the global economy, bond markets, alternative investments and UK equities.

Katie loves writing and studied English at the University of Cambridge. Outside of work, she enjoys going to the theatre, reading novels, travelling and trying new restaurants with friends.