A YouGov survey commissioned by the insurance provider found that nearly one third of consumers over the age of 55 do not save any money each month and nearly half are concerned about finances and retirement funds.
This correlates with a report by the Saga Foundation which showed the spending power of people over 50 had fallen by 9% as a direct result of government policies and the Bank of England.
Tim Johnson, chief executive of Paymentshield, said that a combination of low interest rates, pension costs and inflation has had a “devastating” impact on this age group.
He said: “With an unpredictable economy and employment market, one would hope that more people, particularly older generations, are preparing themselves financially for the unexpected.
“Unfortunately, because budgets are being squeezed, many are finding it difficult to put away savings, but this is why it is especially important for the over 50s to seek financial advice.”
The You Gov research also discovered that nearly half of over 55s had never visited a broker or financial adviser to discuss their finances.
Johnson added: “No one knows what’s around the corner and it’s never too late to obtain financial advice. By visiting a broker or independent financial adviser, people can get guidance tailored to their individual financial situation.”
