Average weekly pensioner income was at £349 for the financial year ending in 2022, an increase of almost £100 since 2002.
Income from workplace and private pensions has gone up from £112 to £213 over the same period.
Helen Morrissey, head of retirement analysis at Hargreaves Lansdown, said: “Income from work continues to provide a significant boost particularly to the households of younger pensioners who either continue to work themselves or have a partner who does, though the data shows the percentage of pensioners in receipt of earnings income has dropped.
“However, as the cost-of-living crisis continues to bite we are starting to see more older people consider a return to the workforce, even if only on a part-time basis to support their incomes during these trying times so it will be no surprise if we see this number start to tick up again in the coming years.”
The state pension is the largest portion of gross income for single pensioners, at 56 percent, while it makes up 38 percent of the income of couples.
Alice Guy, head of Pensions and Savings at interactive investor, said: “On average pensioners are wealthier than ever before.
“Average pension incomes have increased an amazing £100 per week during the last 20 years, with millions of ordinary pensioners lifted out of poverty and able to enjoy more disposable income in retirement.
“Increasing pension incomes reflect the increasing state pension and also the boom of workplace pension schemes during the 1950s and 1960s.
“There are now more pensioners in the top fifth of households in terms of income, 19 percent in 2022 compared to 13 percent in 1995.”
For the tax year ending in 2022, single pensioners in the bottom fifth for income received £18 a week from their workplace and private pensions, compared to £366 for those in the top fifth.
For couples, those in the bottom fifth received £42 a week from their workplace and private pensions while those on the top fifth received £755 a week.
Ms Morrissey said: “Scratching beneath the surface shows a more mixed bag. On average, older pensioners tend to be less well off than those aged less than 75.
“This is because older pensioners are more likely to be single and less likely to still be in work.
“Similarly, single pensioners and women are also more likely to be reliant on benefits. The state pension continues to make up the bedrock of pensioner finances, with occupational and personal pensions bulking out the rest.”
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