This is despite the surge in government spending on pensioner benefits in recent years. The National Pension alone rose 10.1% this spring, thanks to the Conservative Party’s “triple lock” pledge.
The National Pension is one of the most expensive policies, accounting for almost half of the £110bn total benefit costs. According to official estimates, it is expected to reach around £150bn by the end of the decade.
Overall spending per pensioner is expected to reach £10,534 this year, compared to £2,658 per working-age person, according to an analysis by the Institute for Finance, a think tank.
An independent report on public pension age, released in March and commissioned by the government itself, recommended that spending on the national pension should be capped at 6% of national income.
It currently accounts for 4.8%, but is expected to rise to 8.1% within just 50 years.
The 6% limit means that the national pension age must be raised to 69 between 2046 and 2048.
One in three workers is expected to fall short of minimum retirement standards, but a similar percentage are on track to ensure a comfortable lifestyle. This requires an annual income of at least £37,300 after tax.
According to a survey of widows in Scotland, men are expected to receive an average of £19,000 a year in retirement benefits. Women are expected to receive £12,000, which the company blames on wage disparities in the workplace and an increase in part-time employment.
