Pension age should rise to 75, says Tory think tank

The Centre for Social Justice has claimed that the state pension age should rise to 75 within the 16 years in order to help boost the country’s economy.

The Tory-led think tank has proposed an increase of the pension age to 70 by 2028 and 75 by 2035, an increase on current plans to raise the pension age to 67 by 2028 and to 68 by 2046.

The report from the Centre for Social Justice, which is led by former Conservative leader and Work and Pensions Secretary Iain Duncan-Smith, points to evidence suggesting that the UK was ‘not responding to the needs and potential’ of an ageing workforce, with hundreds of thousands of people aged 50 to 64 seen as ‘economically inactive’.

Ageing Confidently: Supporting an ageing workforce outlines that the cost of benefits would be reduced by employing more older people while it would boost the UK’s gross domestic product (GDP).

The think tank states: “Removing barriers for older people to remain in work has the potential to contribute greatly to the health of individuals and the affordability of public services. Therefore, this paper argues for significant improvements in the support for older workers. This includes improved healthcare support, increased access to flexible working, better opportunities for training, an employer-led mid-life MOT and the implementation of an ‘Age Confident’ scheme.

“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. In addition, provided that this support is in place, we propose an increase in the state pension age to 75 by 2035.”