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Cash-strapped Britons warn the cost of living crisis is getting worse and a majority say the full state pension is not enough for the country’s older citizens to live on. Fewer than one in five people (18%) consider the new state pension of just under £12,000 sufficient to make ends meet.

A leading campaign group say the findings from Pensions UK show why the “triple lock” – which ensures payments keep pace with increases in inflation and average earnings – must not be abandoned. The new research lays bare the hardship facing households across the country. Forty-four per cent of people said their financial situation is worse than 12 months ago – up from 34% in 2024.

Britons are cutting back on eating out (39%), takeaways (35%), holidays (32%) and even savings contributions (31%).

Morgan Vine of Independent Age warned of the plight of pensioners, saying: “On a daily basis our advisers are hearing dreadful calls from older people living on a low income who are making painful and drastic cutbacks just to make ends meet. These include not washing regularly to save on water, only having one meal a day and socially isolating themselves as they can’t afford to go out for a hot drink with loved ones.”

Sixty-two per cent of Britons say the state pension of £11,973 is not enough to live on.

The findings come on the heels of leading think tanks attacking the triple lock. The Institute for Fiscal Studies has warned it could cost £40billion a year by 2050.

But nearly nine out of 10 Britons (89%) say the pension should always rise with the cost of living.

Dennis Reed of campaign group Silver Voices said: “Those who argue that the triple lock and state pension are too expensive and unsustainable need a dose of hard reality. Let those feather-bedded MPs and highly paid think tank bosses try to live for a week on the old state pension of £176 per week with food prices and utility bills as they are at the moment.”

He said the state pension should rise to become a “true living state pension at around £350 per week, which is still only half the level of average earnings”.

There are strong fears that more pensioners will end up paying income tax if Chancellor Rachel Reeves keeps thresholds frozen.

Independent Age’s Mr Vine warned that by April 2027, older people who have no income other than the new state pension will “have to pay some of it back as tax”.

He said: “This is unacceptable when so many are already finding it challenging to live on the amount they receive now.”

Caroline Abrahams of Age UK said: “Despite what some commentators may think, significant numbers of pensioners are struggling to get by and do not have any money left over at the end of the week. Many of them will have a small private pension, while others only the state pension to rely on.

“One in eight older people get all of their income from the state pension and other entitlements and one in six pensioners still live in poverty, so it’s vital that older people have enough money to meet their needs to stay healthy and independent. Ensuring we have a decent state pension is vital not only for current pensioners but also the pensioners of tomorrow, many of whom are struggling to make adequate savings.”

Shadow Work and Pensions Secretary Helen Whately said: “Labour is making everyone worse off and pensioners are firmly in this Government’s sights… Labour lied to the country to get elected, now the economy is weaker, growth has halved, and our country is living beyond its means.

“Keir Starmer has no backbone to stand up to his own party, leaving Britain trapped in a doom loop of higher taxes, higher spending, and higher debt.”

The research found that despite cost of living challenges only 4% of people have reduced pension contributions; 65% say people should be encouraged to make higher contributions.

Zoe Alexander of Pensions UK, said: “Our research shows that people want Government to focus on protecting the value of pensions and helping them grow steadily over time.”