More than a quarter (28%) of over-50s are now turning to their savings pot to tide them over due to the cost of living crisis, new research from Handelsbanken Wealth & Asset Management has indicated.

The firm’s findings also revealed that one in 10 over-50s have cut down on investments.

Handelsbanken’s research, which was based on a study of 2,000 people over the age of 50, also suggested that more than a quarter (28%) of respondents have decided to go on fewer holidays.

Everyday spending habits are shifting as well, with the study finding that more than half of over-50s (59%) are spending less on “non-essential items” as a direct result of the cost of living crisis.

Those in their fifties are feeling the impact the most, with 64% spending less on non-essential items, dropping to 62% among those in their sixties, and around 50% for those in their seventies. As a result of the financial pressure to stay afloat, 9% of those in their sixties are now planning to delay their retirement indefinitely.

Head of private office (north) and client director at Handelsbanken, Christine Ross, said that the “squeezed” middle aged are continuing to feel the strain of coping with the cost of living crisis.

“Many over-50s are facing steep costs for childcare, mortgages, and energy and feel they have no option but to change their saving and spending habits to cope with surging prices,” Ross commented.

“Relying on savings to make ends meet is an obvious short-term measure, but as the months pass, it can have serious long-term consequences on your quality of life and retirement expectations. The best option is to seek professional financial planning advice to ensure you’re making the right decisions and are better positioned to mitigate the impact of today’s volatile financial climate.”

Share Story: