Age Sector Platform (ASP) is committed to highlighting the effect that the rising cost of living is having on older people in Northern Ireland and working with others to tackle this growing crisis.

Poverty is rife among older people in Northern Ireland. Figures from 2006 showed that 28% of older people lived in poverty and one in seven in severe poverty. These figures are now likely to be much higher given the increases over the past year in fuel and food costs. On average during 2007, the inflation rate facing the over 75’s was 35% higher than the official rate of inflation^{Alliance Trust, Inflation and Age, June 2008}.

Fuel poverty and benefit uptake have also become serious related issues, with over half of all households experiencing fuel poverty in Northern Ireland being pensioner households^{NIHE 2006 Northern Ireland House Condition Survey - Statistical Annex - 51% of pensioner households in fuel poverty} and up to 51% of older people failing to claim the pension credit to which they are entitled^{Income Related Benefits Estimates of Take-up in 2004-6 Northern Ireland, DSD - up to 51% not claiming pension credit
*DSD estimated range in which the upper limit is stated}. The number of excess winter fuel deaths in 2007-08 among people aged 65 and over was 550; this represents a 62% increase in the past five years.

It has been estimated that on average oil customers are paying £532^{Based on 2 fills per year of a 900 litre tank based on a Consumer Council snapshot survey taken on 11 May 2007
and 22 May 2008} more compared to last year while Phoenix Gas customers are paying an additional £130^{Based on a 28% increase in Phoenix Supply Limited’s tariff effective from 01 May 2008 based on average customer usage}. These price increases render the current winter fuel payment of £250 completely inadequate. It needs to be increased dramatically in order to benefit older people living in fuel poverty.

The current cost of living is made all the more weighty for older people when
taking into consideration the nominal pension credit allowance provided.

*Excluding mortgage payments, council tax and Northern Ireland rates for household with reference person aged 65+

These figures are made all the more significant by the fact that around one third (32%) of pensioners in Northern Ireland are, in fact, solely reliant on state retirement pension and other state benefits^{DSD Pensioners’ Income Series Report 2005/06}.

Benefits have the ability to alleviate some of the financial difficulties older people experience. However, many older people fail to claim benefits to which they are entitled. Age Sector Platform supports the age sector’s demand to simplify the complicated claims processes which are currently preventing older people in Northern Ireland from receiving benefits to which they are entitled. Continuous and increased promotion of available benefits is also needed.

Supermarkets must respond to their customer needs and provide more individual offers on products and introduce smaller portions at affordable prices. Many older people see little benefit in the ‘buy one get one free’ and 3 for 2 offers that are most common.

Government and businesses need to take immediate action to tackle this crisis and Age Sector Platform calls for the following short and medium term measures.

Age Sector Platform aims to:

• Work in partnership to reduce the number of older people experiencing poverty as a result of the increased cost of living
• Campaign for automatic payment of Pension Credit to help older people during the winter months
• Increase winter fuel payments to older people
• Lobby to re-establish the link between pensions and earnings before 2012
• Call for increased energy efficiency measures for older people to reduce fuel bills
• Campaign for social tariffs to be introduced by energy providers to protect the most vulnerable against major price hikes
• Work to improve benefit uptake and raise awareness of benefit entitlement among older people
• Campaign for better food pricing for older people
  • More individual offers than buy one get one free or 3 for 2 offers
  • Introduce smaller portions
  • Fairer pricing of smaller portions
  • Discount days for older shoppers