2009 retirees can expect to receive £884 a year less than those who retired last year, says Prudential.

The economic crisis means the expected 3.25million UK adults retiring in 2009 will receive £2.87bn less than those who retired in 2008, according to Prudential's Class of 2009 retirement survey, published this week.

The average income for 2009 retirees will be £17,779 a year, compared to those in 2008 who anticipated average annual income of £18,663. This equates to a £7,129 cut from the national average salary of £24,908.

61 per cent of respondents to the survey said that they believed pensions and savings will not bring sufficient retirement income, while eleven per cent of respondents expect to retire on an income of less than £10,000 a year from their pensions and investments. 12 per cent of women expect to manage on this level of income, but only nine per cent of men.

Keith Haggart, director of Lifetime Mortgages at Prudential, said: "The global economic recession is relentless and indiscriminate in its impact and it was only a matter of time before we began to see British pensioners bear the brunt.

"Although the results of our survey make unsettling reading, there are ways for pensioners to maximise their incomes during these difficult times. Drawing on some or all of the assets saved throughout their working lives, including releasing value from property through equity release schemes, can boost annual incomes without having a detrimental impact on quality of life or forcing pensioners to downsize or embark on a fire sale of their possessions and assets."

Haggart advises those approaching retirement to talk to a financial adviser who will review their assets and savings to examine how they could maximise their income.

- Pensions Age March 2009

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