A quarter of pensioners are struggling to meet the cost of everyday living as the price of food, household bills and vehicle fuel continues to rise.
According to the Telegraph newspaper, research from AXA Wealth shows that one in ten retirees require a higher income just to make ends meet.
The company's Cost of Living Retirement Report reveals that the average pensioner needs between £175 and £300 a week to live comfortably in retirement.
This means having enough money to eat well, run a car, pay household bills and have a reasonable disposable income left over.
However, six in ten of those surveyed said they were short of reaching a comfortable living standard by about £75 a week, causing them to struggle financially.
One in five respondents claimed to have had problems paying off bills within the last year as rising inflation eats into their pension savings.
The publication of the AXA Wealth figures come as government statistics show that real household actual income fell by 0.6 per cent in the first quarter of 2012 to its lowest level in almost seven years.
© 2012 Adfero Ltd. All rights reserved. Any views and opinions expressed in news articles are not those of Just Retirement Limited. News supplied by Adfero DirectNews.
Need help with budgeting? Read our guide