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Generation gap in wealth

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Over 60'sHolidayTravel

People over the age of 60 are spending more and more on holidays - including cruises - while younger people are travelling less, according to research.

Over the past five years, the older age group has increased spending on travel by 23%, says a study for Saga.

Meanwhile, younger people have cut spending on tourism by 5% during the same period.

As a result, the older generation is now responsible for well over half the UK's total spending on holidays. 

Last year, the over-50s spent £39bn on travel, including £2.1bn on cruises.

Earlier this year, the Institute for Fiscal Studies (IFS) said that younger people had suffered a fall in income since the financial crisis, while those over 60 had enjoyed a higher standard of living.

In the seven years up to 2015, that age group saw an 11% rise in incomes, it said.

However, those under 30 saw a 7% drop in income over the same period, with those in the middle seeing little change.

One of the most striking phenomena is how quickly home ownership is becoming the preserve of older generations. According to the Institute for Fiscal Studies (IFS), a record 80% of those aged 65-74 now own their own home, compared with just 63% in 1994. 

Separate data from PwC, the accountancy firm, show that 71.8% of people within this age bracket own their home outright, with no mortgage.