By Faith Archer

Nearly one in five people planning to retire this year will still be struggling with debts such as credit card bills and outstanding mortgage payments, according to research by insurer Prudential.

Just over half of those burdened with debt will owe money on their credit card, while half will not have finished paying off their mortgages, according to Prudential's Class of 2012 study.

In total, the average amount of debt owed by these prospective retirees is £38,200, a surge of 15% compared to last year's £33,100 per person retiring with debt.

The repayments could leave many pensioners struggling to make ends meet. On average, those retiring in debt face monthly repayments of £260, accounting for almost a fifth of their expected income of £1,290 a month.

Nearly one in ten (8%) of those who owe money on retirement expect to die in debt, as they will never be able to pay it off.

Vince Smith-Hughes, retirement income expert at Prudential, said: "It is important for those still at work to save as much as possible as early as possible, and to consult a financial adviser to help them plan for a comfortable retirement."

Anyone shouldering heavy debts can seek help putting together a repayment plan from organisations such as the Money Advice Service and Citizens Advice. The advice should be free and unbiased. Citizens Advice provides help online on dealing with debt but if you want to speak to someone you can track down your local Citizens Advice Bureau at www.citizensadvice.org.uk.