The government has announced plans to bring forward its review of the Default Retirement Age (DRA).

Yesterday, the Prime Minister said that the planned review of the default retirement age will be brought forward by a year to 2010.

Denise Keating, chief executive of age campaigner the Employers Forum on Age (EFA), welcomed the move, saying: “Every year thousands of people over 65 make huge contributions to the UK’s economy and heritage, yet despite being capable of continuing in work, many more individuals are involuntarily retired at 65.  We believe that only short-sighted organisations would risk removing talented people just because a milestone birthday is approaching.  

“These economic times create an even more pressing imperative for the government to move faster on this issue.  Pensioners need to work now because they have seen the financial crisis drain their pension value and as Britain becomes an ageing society, with huge demographic change, we are facing an even greater pensions’ crisis which will affect all of us.”  

Dianah Worman, diversity adviser at the Chartered Institute of Personnel and Development (CIPD), adds: “The economic situation and panic about pension income means maintaining the default retirement age is unsustainable. We never supported its inclusion in the Employment Equality (Age) Regulations 2006 because strong demographic evidence made it nonsense.”