“BabyBoomers Housebound”

Two weeks ago I wrote about a very upmarket retirement housing project in London.  Only very wealthy people need apply because it was a money-no-object solution for downsizers with pots of gold at the end of their rainbow time working and living in London.

Now I want to look more widely at the rapidly emerging market of private providers of retirement housing, all looking to tap into the £1.3 trillion equity that older people have locked up in their family homes.  The “downsizers” also more recently referred to as “rightsizers”.

The market is being driven by three key factors:-

  1. The changing demographics of the older population.   23% of the UK population is now over 60 and as more of the baby boomer generation retire, the proportion will increase to 29% in the next 20 years.   They more then previous generations have accumulated wealth through the over-inflated growth in house values in the latter half of the last century.
  2. The lack of retirement housing options.    Only 2% of the existing housing stock is made up of specialist housing for retired people, leaving aside the ever-unattractive option of last resort – residential care.    Historically, most newly built retirement housing has been provided for rent either by Local Authority’s or Housing Associations.    There has been some limited provision of home ownership by both Housing Associations and private developers,  almost exclusively built on the 1960 model of sheltered housing.     It is a model that has lasted well but is now looking tired.
  3. The prospect of loneliness / isolation and frailty.  This is the least understood elephant-in-the-room issue that few people want to face.   The newly retired live in hope that it will never happen to them, so they hang to what they have got.    For the majority in the early years of retirement they can happily continue to turn a blind eye to the future.

The demographics should be a major driver for transforming this sector of the housing market and it is for the lucky few who have sufficient funds to buy into the luxury end of the market or are fortunate to live near recent new build options in the social housing sector.

Sadly the other two factors are more of a drag than a driver for most people who could be players in the market.

I’ll look at some of the current options in the weeks ahead.

Posted in RETIREMENT HOUSING, Sheltered Housing | Tagged | 2 Comments

“Pension Discredit”

When Pension Credit was first introduced by the Government, it was one of the least understood benefits for older people and it remains so to this day.    It is supposed to ensure the poorest pensioners are guaranteed a higher level of income than just the basic state pension. However because of the confusion about who is entitled to it, pension credit is probably the most under-claimed entitlement.     All Governments pay lip service to promoting benefits, but they  care little about the under-claiming because it saves money on the welfare bill.

Thanks to a recently published report by Independent Age, this situation has been exposed, but I wonder how many headlines it will get.    Not many I suspect, given the frequently trumpeted view that pensioners are better off than ever.

The report is entitled “The Overlooked Over 75s”.   Here are some of the report’s key findings:-

  • Older pensioners’ incomes are on average £59 a week lower than younger pensioners and £112 a week lower than working age adults;
  • A fifth of those aged 75 and over are living below the poverty line;
  • Over 75’s are twice as likely as under 75’s to have been in poverty for the last four years.

The people this affects are often called the “silent generation” because having lived through the second world war and also for some the deprivations of the 1930’s, they don’t complain, they don’t think the world owes them a living, and they don’t like living off the state, so they often don’t claim benefits.

  • Nearly three-quarters of a million over 75’s have no source of income other than state pension and benefits.    Nearly a quarter of single women aged 75 (400,000 women) are completely reliant on state financial support.
  • Over 75’s are less likely than younger pensioners to receive Pension Credit when they are eligible.  Of the 1.9 million who are estimated to be eligible, around 750,000 people don’t claim it (39%).

It is hardly surprising when benefit forms are complicated, confusing and poorly communicated.  When more and more information is on-line and unavailable to non-tech savvy older people.

Local Authority and Housing Association landlords, who provide the majority of the UK’s retirement housing, should re-double their efforts to ensure this often unappreciated generation get their full benefit.

Acknowledgement      

My thanks to the Charity Independent Age for producing this report from which most of my blog is taken.   I very much hope it gets the publicity it deserves and that my post helps broadcast it a little further.

Posted in Pensions | 2 Comments

“Baby Booming Rich”

Last week I wrote about the option many home owning baby boomers have to cash in the equity accumulated in their house over the years and secure themselves a smaller rented home.    Thereby releasing cash to buy themselves a better lifestyle in retirement.

There is an alternative to this for people who have the good fortune to live in places like London where property values have gone through the roof over the last forty years.    People who moved into modest houses when they first started out and now find themselves as new property millionaires.    They are opening up a new market in luxury retirement housing and investors are emerging to fund this growth opportunity.

One of the latest luxury examples, which opens this year, is a retirement community called Battersea Place in Central London.    It comprises spacious 1, 2 and 3 bedroom apartments, with a range of communal facilities including a restaurant, cafe bar, a billiard room (snooker must be too down market),lounge, cinema, hairdresser, swimming pool and spa and a guest apartment.  The support services offer a concierge, housekeeping, domiciliary care, a nursing suite and even a chauffeur driven car.

It is all the things offered in the ExtraCare Charitable Trust villages (except for the chauffeur driven limmo!), but a lot more expensive.

One bedroom studio flats start at £650,000; two bedroom apartments cost £800,000 and penthouse suites with 3 bedrooms cost £2.95m.

It does not stop there.    Service charges are £12,000 a year to live there and extra if you need care.     Furthermore when you move out or die, you or your estate has to pay 20% of the original purchase price in “deferred payments” plus 50% of the equity growth in your property.

This is only an option for people with considerable assets.   It certainly gaurantees a luxury lifestyle and also a paupers funeral . Only for the lucky few.

There are more slightly cheaper options which I will talk about in my next blog.

Posted in RETIREMENT HOUSING | Tagged | 2 Comments

“Baby Boom in Renting”

The baby boomer generation have changed things in society all their lives.    Now they may be doing it again, this time in housing.    Throughout their growing up years, the Holy Grail was to own your own home.  In your working age adult years, you laboured to pay off your mortgage.  Then when almost at retirement age, you finally pay it off and own 100% of your home.

After a short sigh of relief —— You have a home which is too big for you, now the children have flown the nest.   Your property is ageing along with you and needs regular maintenance which you are less able  to do yourself.   If you live in the suburbs, or even more remotely in rural areas, the supermarkets and shops seem to have moved further away.      And finally, your fixed income makes you more aware of everyday costs now there is no earned income coming in.

The good news is that as an ever-lucky baby boomer, your property has increased enormously in value over the years and you did not have to do anything to make it happen.    You just had to be on the property ladder.     Now, you need a baby boomer paradigm change in thinking.  Your house no longer needs to be a castle, now it can be a springboard to a new downsized life.

As is often the case, housing trends in the USA preceded what happens in the UK a few years later. The hippy generation of America are beginning a new trend in retirement – not just downsizing, but renting rather than owning their homes.     According to the Tampa Bay Times, there has been a 42% growth in rental properties and interestingly 1 in 3 people have enough to buy but still decide to rent !   Home ownership in the US has dropped to 64% in recent years.    Renting an apartment in the centre of town means you can walk to the local shops or travel easily (and in the UK often freely) on public transport.    Market rents, although high, mean that property upkeep is looked after for you by the landlord.

The new ageing hippy ideal is to ‘hang loose’ and enjoy retired life to the full.    Release of the equity you have accumulated in your house gives you the means to do it.   ‘Far out man I’m on the road again’

There is more to life than bingo,  carpet slippers and rocking chairs on the porch.

This could be the start of another baby boomer revolution in society.

Posted in RETIREMENT HOUSING | Tagged | 3 Comments

Booming Happy !

My blogs at the start of 2016 have had a grumbly theme in spite of my best efforts. Unhappy GP’s dominated my early thoughts — I must recommend them a pill to lift their mood 😄   Then my mind was moved to the troubles of Age UK which still persist today😩   Now at last some welcome relief, I stumbled across some good news 😃

The National Survey of  Health and Development.  I had never heard of it before, but it makes very interesting reading.  It is a longitudinal research study which started the year before I was born, and follows the lives of 3000 people who were born in 1946.  It has tracked their health and wellbeing ever since.    It is the lucky baby boomer generation that I was born into.

The original group of people have been surveyed annually.  Over 40 books and numerous research papers have been published commenting on the findings of the research.  An excellent book entitled “The Life Project” and written by research journalist Helen Pearson, describes how the research has been used over the years.

Seventy years on the cohort  group reported that they have reached a time when they are happiest in their lives.   They feel more confident, cheerful, optimistic, useful and relaxed.   I wonder where they were in the swinging 60’s ?  Or when they first went out on a date? Or when they got their first job/ pay packet ? Or how about when they got married or had their first child ?  Or even a first car or a holiday abroad ?

The researchers must have discovered a group of people who have led very sheltered lives —– or perhaps they have just forgotten the good times 😄    Or maybe it is just that the reality is, that:

ManSmilew-BIGboard Cropped 181

 

Posted in SMILES | Tagged | 4 Comments

“Hear This”

Nearly a third of people aged between 65 and 74 have a hearing impairment and this increases to nearly half of people over 75.   These are staggeringly high figures and yet you would not know it just from walking around.    Hearing loss, although common amongst elderly people, is very much a hidden frailty.    You can’t see it, there are no bandages, no white sticks and many older people don’t want you to know.

Increasing deafness is a sign of approaching old age – who wants to hold their hand up to that?   So they soldier on turning the TV up louder and guessing what people are saying to them.    My father did this all the time.    When asked any question, he would often answer “half past eleven” thinking you were asking him the time.  :-).  Irrespective of the question you had actually asked.

Yet this is a serious health problem which left untreated can lead to much more devastating conditions.   The most obvious is loneliness and isolation, as hearing loss gradually excludes them from joining in conversations.   Recent research at John Hopkins University in Maryland, has found that a third of the risk of dementia is down to hearing loss.

Unfortunately the NHS is deaf to this situation, with audiology services becoming more and more restricted.    Only 1 in 5 of the 6.7 million people who could benefit from a hearing test actually get one on the NHS.

Everyone else is left at the mercy of predatory private sector providers, who will often charge them a fortune for hearing aid, which should be provided free on the NHS.

So, it is not just double glazing salesmen, anti-ageing cosmetics suppliers, opticians who want to upgrade your spectacles every five minutes and expensive hearing aid providers, who take advantage of older peoples’ vulnerability.

Now the NHS is doing it too!

Posted in HEALTH | Tagged , | 1 Comment

“Feel Good, Heal Good”

Since January this year, I have been collecting some of the headlines in the press which relate to elderly people to get a sense of how they are currently perceived.    If you have been reading this blog for some time, there will be no surprises here.    The prevailing wind of press headlines, more often than not, blows in the direction of the burden that older people place on society.    The NHS and Social Services are struggling under the weight of the older elderly and this comes through in many of the headlines.

Here are a few of the headlines that don’t offer a great outlook to older people:-

  • “Rationing hearing aids is fuelling Alzheimer’s crisis
  • “Hearing aid cuts linked to spreading dementia”
  • “Loneliness is a devastating issue for a million”

These three headlines, although separately published, are related.  Hearing impairment is probably the most common frailty amongst older people, which is also the least talked about ailment.   Hearing loss is not a life threatening condition and is treated as something of a “Cinderella” service in the NHS.    It is low down the list in terms of priorities for treatment and like dentistry, it is more often than not contracted out to the private sector, and ceases to be “free at the point of delivery”.    The juxtaposition of these headlines inadvertently, but correctly, makes a link between hearing loss, loneliness and dementia.    I believe all three things are closely related.    I will say more about this subject in my next blog.

  • “Council tax bills will rise to fund care for elderly”
  • “Care home bills soar with only one week’s notice”

I’ve written a lot about residential care over the years and through all that time, Social Services have been strapped for cash to fund residential care and progressively it has been rationed to the most dependent cases, particularly those with dementia.    Residential care has consistently lived down to its reputation for poor care, underpinned by low pay and inadequate standards of training.  The recent Government move toward a higher minimum wage, whilst welcome, will add significantly to care home costs without improving the quality of care.

  • “GPs vote to axe care home visits”
  • “It’s cruel and cowardly for GPs to turn their back on the old”
  • “Doctors appointments far shorter in the UK than France”
  • “Dementia drive create false alarms”

These headlines all relate to the increasingly pressured and progressively eroded GP service.  You can find many of my earlier posts on GP services by clicking on “GPs” in the TAG CLOUD.  Withdrawing GPs regular visits to care homes, which look after the frailest of older people, would be a very callous decision.  Having said that, it’s understandable that GPs may have a case for additional funding to provide this service.    Many elderly people have complex and multiple conditions which don’t limit themselves to a single short visit to their GP.

The latter headline related to dementia refers to an initiative taken to improve the diagnosis of dementia, but sadly its unintended and easily foreseen consequences, resulted in a significant increase in identification of dementia sufferers without any corresponding resources to offer better treatment of the condition.

Because my blog is about turning Grumbles into Smiles, I also managed to find a much more positive outlook about ageing:-

  • “Over 60s can look forward to longer life than ever”
  • “Once you hit 70 it’s booming marvellous”
  • “Sign up before it’s too late: clubs are key to a happy old age”
  • “A third of homes are mortgage free”

These headlines are all about the fact that we are living longer and in the early years of retirement, many older people have more disposable income.    With good health and a positive outlook, retirement can offer many new opportunities to older people.    I will write about this more in a blog about Baby Boomers in two weeks’ time.

  • “How do you feel? The answer will reveal how long you live”

This final headline is perhaps the most significant of all.    It is based on research from the University of Geneva, who studied the lives of 6,000 men and women from Newcastle and Manchester over a period of 29 years.    In essence it said that if you feel good about your health, you live longer.    This is not a reflection of their actual physical health, nor is it about positive thinking.    The key issue is their sense of wellbeing.

This echoes some work we did at the ExtraCare Charitable Trust when we opened our first retirement community at Berryhill in Stoke on Trent.    We commissioned Keele University to study the first intake of residents for three years after they moved in.    When they first moved in we asked them how old they felt and most felt three years younger than they actually were.    When asked the same question three years later, having participated in an active life in the village, most people said they felt 20 or 30 years younger than they actually were.    The researchers referred to this concept as “imagined age”.

That’s what ExtraCare was all about, making older people feel younger than they actually were!

Posted in HEALTH | Tagged , | 3 Comments

The £155 pension hardly anyone gets !

I have been writing about pensions almost from the start of my blog and a familiar theme in many of my posts is about the cynicism and duplicity of ‘ political speak’.   So many political announcements grab headlines on day one and then dissolve in a mist of limiting qualifications and ‘misspoken’ corrections almost immediatly after.

There is no better demonstration of this than the loudly heralded story of the big rise in state pensions first announced in 2011.    Five years later on 6th April this week it finally comes in to effect.    So you might expect to see pensioners dancing in the streets or celebrating in  the pub 😄.    Perhaps a few are at the local car dealership trading in their old banger for a Lamborghini ?    Or maybe they have all gone away on luxury Saga cruises to the Caribbean ?     All thanks to their new-found wealth and politicians seeking their votes in advance of the last two general elections.

Sadly, it will not be possible to thank the Government Ministers  responsible.   Steve Webb, the liberal democrat Pensions Minister, was kicked out of parliament at the last election and has managed to secure  a lucrative job in the pensions industry.    Ian Duncan Smith, the Secretary of State, resigned from the cabinet last month, just before his legislation came into being.     Such a shame that they are not around to see their bounteous generosity transform the lives of older people 😞

magic3 (2)

Ah, but wait a minute !    It now appears that 8 out of 10 people who retire in the year ahead will not qualify for the full state pension.    Just as I predicted 5 years ago, when it was first announced.

Remember too, that none of this largess is granted to people who retired before April this year.    They still remain on the much lower original state pension of £119.30 per week.    Evidently they can get by on £2000 a year less than the new pensioners !     Presumably because of their experience of rationing and hardship during the Second World War they know how to live frugally.     No age discrimination there then and no compassionate Conservatism either.

                                           No street parties today !

In spite of the ‘life changing’ increase for the few, the UK still has one of the lowest state pensions in the developed world.    1.2 million  or 16% of pensioners, have no other income than their state pension and about 1 million live below the official poverty line.

(see all my earlier posts on this subject by clicking on ‘pensions’ in the topics list or find ” the £140 pension” in the TagCloud)

Posted in Pensions | Tagged | 2 Comments

New Age Friendly Technology

Somewhere high up in the cloud, in my FlipBoard  magazines I found a really interesting article on simply designed tablet computer technology.    It was so interesting that I thought I would write a blog about it.   But you know what it is like trying to grab hold of a cloud😁

It was published in the Charlotte Times, reprinted from the New York Times.    Unfortunately you cannot get either one in Kilsby Village Shop on a Sunday morning.

All is not lost, I did manage to email a link  to myself.   Now I just need to figure out how to copy and paste it to this blog post 😩   That’s a bit beyond me this early in the morning.

Next I tapped another incomprehensible symbol or maybe it is an icon or an ikon.   Whichever!    It told me I could “reblog” the article directly from the cloud into my WordPress file.    Sounds easy  until you try to follow the instructions, then you realise every time you grab a cloud, it moves somewhere else 😁

It is tantalisingly close, but still out of reach.  Frustrating or what?

I remember the article was about GrandPad and Pilboxie.   So there is some point to this newspeak world of weird names, at least you can remember the names,  even if you have no idea what they mean.    You can Google the names and find out more, until I can complete my degree in WordPress and rescue them from the clouds

Soon the sun will come out and the clouds will disappear 😄😄😄😄  then I will reblog the original article.

Tagged | 4 Comments

“Over the sea to Skye ?”

A small piece of research done at the University of Edinburgh found that people who can speak more than one language get dementia up to five years later than those who don’t.   It is thought that this is because their brains become more flexible, enabling them to get around damaging brain conditions at least for some time.

They studied a group of healthy retired people on the Isle of Skye, who did a week long, intensive course to learn Gaelic.      Afterwards they did better in cognitive tests than their peers.

So, as long as you don’t mind cold, wet and windy weather, you can live another five years without dementia.      Of course, you will have to move to Skye because there are not too many places where they speak Gaelic.

skye

Still, the whisky might be some compensation for losing all your friends who live elsewhere and can’t speak the language.

Posted in HEALTH, SMILES | Tagged , | 5 Comments