TUC slams 'pensions at 70' report

20/10/2009

Unions have expressed scepticism over new proposals to raise the state pension age to 70.

The Trades Union Congress (TUC) was responding to a report from the Institute of Directors (IoD) released earlier this week, which suggested radical changes to the pensions market.

According to the thinktank, increasing longevity in the UK will mean that the cost of the state pension system will become overly burdensome, meaning that the age needs to be raised.

Commenting on the IoD report, TUC general secretary Brendan Barber said: "The better off you are, the longer you live and the more years you get to claim a state pension.

"A big rise in the state pension age would mean the less well-off lose a much bigger proportion of their pension than longer-living affluent pensioners."

Both Labour and the Conservatives have already unveiled plans to increase the retirement age for both men and women to 66 in the future.

Currently, women can start receiving their state pensions at 60 years old, while men wait until they are 65.

Tags; Budgeting Advice, Retirement Money Problems,

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