What has she been living on since 2003? Does she have any form of pension from Italy which could let her be regarded as having been self-sufficient for 5 years?
The only special rules for pensioners are those for people who have been working in the UK and then reach retirement age - they can get permanent right to reside in less than 5 years. If she hasn't worked here this one doesn't help.
It never occurred to me you could retire from being a nun, unless you get tired of the religious life. Most members of religious communities stay there for the rest of their lives!
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