William Eichler 19 August 2019

IDS think tank calls for raise in pension age to 75

IDS think tank calls for raise in pension age to 75  image

The state pension age should be increased to 75 in order to boost the economy by £182bn, says a centre-right think tank which is close to the Government.

The Centre for Social Justice, which is chaired by the former Secretary of State for Work and Pensions Iain Duncan Smith (known as IDS), calls for a ‘reconceptualization of what ageing and old age means’.

Their new report, entitled Ageing Confidently – Supporting an Ageing Workforce, argues that people live longer today and yet the state pension age is roughly the same as it was 100 years ago.

The report recommends increasing the retirement age to 70 by 2028 and to 75 by 2035.

It says that boosting employment rates among older people would reduce the cost of benefits and boost GDP by approximately 9% (£182bn).

The cost of the UK state pension system in 2018 was 42% of the total welfare spend – £92bn. This is an increase of £75bn in a thirty-year period.

The Department for Work and Pensions currently spends £7bn a year on out of work benefits for those above the age of 50.

‘Working longer has the potential to improve health and wellbeing, increase retirement savings and ensure the full functioning of public services for all,’ said Andy Cook, chief executive of the CSJ.

‘Right now, we are not doing enough to help older people stay in work and the state pension age doesn’t even closely reflect healthy working life expectancy.

‘All generations deserve to be supported in their choices and the current lack of support for older members of the UK workforce is both socially inexcusable and economically short sighted.

‘By increasing the State Pension Age, we can help people stay in gainful and life enhancing employment while also making a sound long term financial decision.’

The Shadow Secretary of State for Education Angela Rayner criticised the proposal on Twitter as ‘completely outrageous’.

SIGN UP
For your free daily news bulletin
Highways jobs

Targeted Youth Advisor

Essex County Council
£25500 - £30000 per annum
Targeted Youth Advisor Fixed Term, Full Time £25,500 - £30,000 Per Annum Location
Recuriter: Essex County Council

Targeted Youth Adviser

Essex County Council
£25500 - £30000 per annum
Targeted Youth Adviser Fixed Term, Full Time £25,500 to £30,000 per annum Location
Recuriter: Essex County Council

Training Specialist / SEND Support - Travel Trainer

Essex County Council
£21454 - £22454 per annum
Training Specialist / SEND Support - Travel Trainer Permanent, Full Time Up to £22,454 per annum Location
Recuriter: Essex County Council

Adult Occupational Therapists - Chelmsford

Essex County Council
£32065 - £43839 per annum
Adult Occupational Therapists - ChelmsfordPermanent, Full Time£32,065 - £43,839 per annumLocation
Recuriter: Essex County Council

Supported Learning Tutor

Essex County Council
Up to £26801 per annum
Supported Learning TutorPermanent, Full TimeUp to £26,801 per annumLocation
Recuriter: Essex County Council

Public Property

Latest issue - Public Property News

This issue of Public Property examines how how flexible workspaces can lead the way in regeneration for local authorities, Why local authority intervention is key to successful urban regeneration schemes and if the Government’s challenge of embracing beauty is an opportunity for communities.

The March issue also takes a closer look at Blackburn with Darwen Council's first digital health hub to help people gain control over health and care services.

Register for your free digital issue