Feeling the pinch

Inflation is falling and deflation may soon be with us. Irrespective, homeowners in retirement will be feeling the pinch as the utility bills land on the doormat. Indeed, the cost of living for the elderly is markedly higher than the published indices and increases in the state pension will be very modest if based on the projected Retail Price Index (RPI). For prudent investors who have put aside some of their hard earned income, there will be scant reward, as retirement savings will be earning only a pittance with interest rates diving toward zero. Annuities have for many years been perc...