Pensionable age 'ought to be 67'

Due to Gordon excellent work of taking money out of the countrys penion scheme they now think we will need to work until 67. Well done Labour and all you people that voted, I hope you have an happy retirement, and you all get what you deserve.

Quote:

---

Britons should have to work until they are 67 before they receive a state pension, a new report has suggested.
The higher age for payments should be introduced between 2020 and 2030, according to the Institute of Public Policy Research report.

The think tank added the government and employers must first win the public's trust before they can make the change.

Ministers say there are no plans to raise the pension age, while the Tories say incentives would be needed.

Pension rise

The report's author, Peter Robinson, said: "Raising the state pension age is vital if the UK pensions system is to remain sustainable and cope with the pressure of an ageing population."

He said the public is reluctant to accept that life expectancy is rising, and the institute's focus groups showed people wanted to retire at or before 65.

The IPPR believes that, unless there is a clear political consensus on pensions, it will be difficult to bring about change.

"One way to build a consensus on increasing the state pension age is to link it with an increase in the basic state pension," said Mr Robinson.

'Increased choice'

Minister for pension reform, Stephen Timms, said the government was "committed to achieving consensus" on pensions.

He said: "The government has no plans to raise the state pension age but welcomes giving people increased choice as they plan for their retirement."

But the Trade Unions Congress warned that "work-till-you-drop" policies would hit poor people hardest.

Conservative pensions spokesman Nigel Waterson called for more flexibility to allow those who want to work for longer to do so.

"If the government expects people to work longer, they need to provide incentives," he said.

The Pensions Commission is due to publish its final report in the autumn.

In October last year, the commission estimated that more than 12 million people in the UK were not saving enough towards their retirement.

The commission's interim report said that some mixture of higher taxes, more saving or a higher average retirement age was needed to solve the UK's pension crisis.

But the Chancellor, Gordon Brown, has said that there will have to be a cross-party consensus before any major changes to the UK pension system are made.

---

UK pension 'near lowest in West'

Quote:

---

Britain's state pension is one of the lowest among the richest nations, a report by the Organisation for Economic Co-operation and Development claims.
In a comparison of pensions in OECD countries, Britain's state pension ranks 26th out of 30 in the percentage of average post-tax salary it pays out.

A Briton on average pay of £22,000 could expect their pension to be less than 48% of their post-tax earnings.

The average pay-out from other advanced nations is 69% of average post-tax pay.

Luxembourg came top in terms of the proportion of post-tax pay its citizens could expect to receive from their state pension.

Below average

They get 102% of post-tax pay, meaning they actually receive more on retiring than when in full-time work.

Austria, Hungary, Italy, Spain and Turkey all make generous provision for those on average earnings, paying out over 75% of post-tax pay.

And, although the British state pension does not seem generous for those on average earnings, it works out better - as a proportion of past pay - for those on half of average earnings.

A person on half average earnings would get a state pension of 78.4% of their post-tax pay.

The report's findings apply only to state pensions and do not cover private pensions.

The report also said Britain's state pension system came near the top of the table for complexity.

However, on the plus side, the OECD report said it was cheap and helped redistribute wealth.

Its report, Pensions at a Glance, is the first in a series that will be published every two years.

Poverty risk

Monica Queisser, one of the report's authors, told the BBC there was a greater emphasis on private pension provision in the UK than in many other countries.

"In Britain it's always been the idea that there should just be a basic pension and that people should do quite a bit on their own, either through their employers or personally for their retirement income," she said.

However, she warned: "There's a risk of pensioner poverty in those countries where public provisions are very low."

---

Nice to know we are one of europes poorest pensioner groups

I cant say much about British pension system.But in Europe as whole i think we should lower the age where you get state pension instead raising it.Every European country has some amount of unimployd people and by lowering the pension age,we could provide some jobs for them.Also by that we could grant the well earned resting time before death to our elderly citizens. :bow:

The whole problem is down to how much money do you have in the kitty.

If you reduce the pension age, you must get the money to pay these people from somewhere, now in the Uk we have a pension hole, which means people may have to work longer or take a reduced pensions as there is not enough money to go round.

Now I think I'm correct in saying, with the exception of France, all other western European counties have a shrinking/aging population hence less people to pay into teh pension.

Looks like we have a major problem coming up. (thats why we either need to give familes incentives to reproduce, or increase the population of a country by imigration.)

Quote:

---

Originally Posted by ShadesWolf

The whole problem is down to how much money do you have in the kitty.

If you reduce the pension age, you must get the money to pay these people from somewhere, now in the Uk we have a pension hole, which means people may have to work longer or take a reduced pensions as there is not enough money to go round.

Now I think I'm correct in saying, with the exception of France, all other western European counties have a shrinking/aging population hence less people to pay into teh pension.

Looks like we have a major problem coming up. (thats why we either need to give familes incentives to reproduce, or increase the population of a country by imigration.)

---

I dont know what Britains unimployment rate is,but here in Finland its over 10% and it has been that way for over 10 years.Many of those people are young and if we dont soon put them to work,they will never adopt being workers.So thats why i suggest to put people to retirement from those big agegroups and replace them with unimployed people.We could rotate some of the wellfare money supplied too the unimployed once to support those who would leave earlier from work life.Thatway it would support both groups.About our shrinking populations.What i have studied western Europe could take lot more immigrants if they wish for it. :bow:

We also have about 10%, if you include disability benefits and job seekers allowance (UK goverment fiddle so they unemployment figures look low)

I accept what you are saying but that is short term.

Yes.Its not permanent.I personally think that people under 30 in Europe have very slim opportunity to get to retirement ever.Maybe when we are 80, im afraid. ~;)

I imagine that, what with their one child policy, getting rid of female foetuses etc., that China will soon join the west in pension woes.
I look forward to seeing how they'll deal with it. I'm guessing they won't do what the west has done.

A little off topic I know but still, I want to see someone come up with better policies.

Thanks to Tony my parents' (substantial) pension policies have been totally screwed. I think they are now just resigned to not retiring at all if they can help it.

Nice to know it is not just us with the freight train coming at us about this stuff...

It scares the crap out of me. I am really looking forward to seeing 60% of my paycheck eaten by taxes...

I would say more but I am sure I would get in trouble.

Azi