Single pensioners need £257,000 more than couples to achieve a comfortable living standard in retirement, according to analysis by Standard Life, part of the Phoenix Group.

Almost half (46%) of Financial Planners have had clients withdrawing funds from their investments to cover essentials bills and address income shortfalls due to the cost of living crisis, according to a new report.

Most over-55s expect to have spent - or expect to spend - a third of their pensions tax-free lump sum within the first six months of taking it, according to a new study.

The study, by provider Standard Life, found that women were more likely to spend a larger proportion of their tax-free cash in the first few months than men.

The research from Standard Life, part of Phoenix Group, also found that 11% of over-55s expect to spend - or have spent - between 90% and 100% of their tax-free pension pot within half a year of withdrawing from it.

Just over a quarter of over-55s (27%) do not know how much they will spend or have already spent.

Standard Life’s research also found that women who took or plan to take a lump sum at the point of retirement spend 37% of their pot on average, compared to men spending 29%.

Dean Butler, managing director for retail at Standard Life, said that some people may be using the tax free cash to reduce their working hours or start phased retirement but this could harm long-term retirement income later on as pension pots grow.

He added that for some over-55s taking the tax-free lump sum in chunks over time could be a tax-efficient way of withdrawing pension savings.

• Opinium conducted research among 2000 UK adults aged 18+ between 12 and 16 May 2023. Results were weighted to be nationally representative.

Only 39% of pension savers are on track for a moderate retirement income of £23,300 a year.