LONDON, May 25 (UPI) -- Britain's Labor government is proposing to push back the nation's retirement age to 68 and create incentives for more personal savings.
The measures are part of Prime Minister Tony Blair's plans, unveiled Thursday, to respond to coordinate fiscal reality with changing demographics, the Guardian reported. Along with later retirement, which would begin in 2050, would be less means testing to qualify for benefits.
Blair wants to enroll workers automatically in low-cost plans in which they would be obliged to save a percentage of their earnings. While they would be given the chance to opt out, those who stay would get contributions from their employer and the government -- effectively doubling how much they pay in.
The government is seeking to restore the link between the basic state pension and earnings, and to ensure that more women and careers are entitled to a full pension.
