With energy costs rising by over 40 per cent this year, the report highlights that with a pensioner's disposable income shrinking, many may be forced to live on the breadline.
Some 46 per cent of respondents admitted to having deep concerns about their depleting income.
Nigel Barlow, head of retirement solutions at Just Retirement, said one in eight people reaching retirement age are planning to continue working "in order to bolster their income".
He added: "With no obvious solutions being proposed to help those struggling at retirement, the likelihood that poverty amongst pensioners is set to spiral out of control."
Charity Age Concern recently called for the government to introduce a number of financial aids for the older generation in its pre-Budget report.
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