View more on these topics

OECD says government reforms needed for sustainable retirement income

A new OECD report states that reforms by governments are needed in order to provide socially and financially sustainable public and private retirement income provisions.

As a result of the continuing rise of unemployment and falling tax revenues, OECD governments are dealing with budget deficits of almost 9 per cent the national income on average in 2010.

The 2009 edition of OECD’s “Pensions at a Glance” says that some countries have already decreased spending on future pensions.

OECD secretary-general Angel Gurria says: “Reforming pension systems now, to make them both affordable and strong enough to provide protection against market swings, citizens will save governments a lot of financial and political pain in the future.”

The report says the reforms should include: “better regulation, more efficient administration, clearer information about risks and rewards of different options and an automatic switch to less risky investments as people near retirement.”

Recommended

Mortgage lending stabilising

Gross mortgage lending was down by 2 per cent in May at £10.3bn from the previous month and by 58 per cent year on year, according to Council of Mortgage Lenders’ figures.

Reveal the full report on race

The allegations of racism at the FSA are extremely serious and must be fully explained by the regulator.

Parental leave and pensions

Fiona Hanrahan  – Senior Product Insight and Technical Support Analyst We are often asked how parental leave impacts workplace pension schemes in terms of funding in general, auto enrolment and salary exchange. This article will explain each of these. How does parental leave impact the funding of workplace pension schemes? A member of a defined […]

Newsletter

News and expert analysis straight to your inbox

Sign up

Comments

    Leave a comment