- The state pension age should rise to 75 years old
- This would tackle the challenges of an ageing population, including increasing retirement savings
- An “age confident” employer scheme should be created to promote a diverse workforce
The Government should increase the state pension age to 75 in order to tackle the challenges of an ageing population, a think tank has said.
In a report called Ageing Confidently: Supporting an Ageing Workforce, think tank The Centre for Social Justice has recommended the retirement age be increased to 75 by 2035. It suggested this move would improve the health and wellbeing of the older population, as well as increase retirement savings and reduce demand on public services.
It comes as research in Living the Dream report found that most people do not feel they are saving enough for retirement. One in three people surveyed expected to have a lower standard of living once they gave up work.
Benefits of working longer
On raising the state pension age, the new report said: “While this might seem contrary to a long-standing compassionate attitude to an older generation that have paid their way in the world and deserve to be looked after, we do not believe it should be.
“As we prepare for the future, we must prioritise increasing the opportunity to work for this demographic to reduce involuntary worklessness. For the vulnerable and marginalised, a job offers the first step away from state dependence, social marginalisation and personal destitution.”
It added: “Working longer has the potential to improve health and wellbeing, increase retirement savings and ensure the full functioning of public services for all.”
The report also recommended that the Government launch an “age confident” employer scheme to help diversify the workforce. This would be similar to the disability confident scheme – which launched in 2013 to provide guidance and resources for employers on employing those with disabilities – the “age confident” scheme would feature guidance on workplace flexibility, infrastructural workplace adjustments, age discrimination and mid-life MOTs to discuss wealth, work and health.
It follows the news that one in twelve continue to work beyond retirement age, with 53,000 over 80s currently in work.
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