Ageing Populations

Ageing Populations

1. Political Impacts

   • Positive
     • The raising of the retirement age may be seen as an advantage in increasing the workforce and independence of many.
     • Elderly have the ‘grey vote’ and are large in size - can used by the political parties in trying to woo older voters.
   • Negative
     • Governments have to ask workers to pay higher taxes to support elderly.
     • Governments can't afford to ignore current pensioners who are powerful political party when elections come around - need their votes.
     • Governments not able to finance growing population or provide work for them so informal sector becomes dominant.
     • Raising of retirement age can be disadvantage if it means young people cannot get a job.

2. Economic Impacts

   • Positive
     • Elderly have disposable income - ‘grey pound’ and the ways in which the elderly contribute to the economy – spending money on holidays e.g. cruise industry, leisure activities etc.
     • The demand for houses leads to construction industry jobs and elderly have role in the workforce in some stores and there's exclusive provision for older people by some companies such as Saga
     • More elderly - more leisure activities they want to partake in - boost manufacturing industry e.g. bus company.
   • Negative
     • Need to provide hospital care for them – cost of hip replacements etc. 41% of NHS budget spent on elderly.
     • The need for housing – residential homes for the elderly, sheltered accommodation, building of small houses on retirement parks with many costs incurred in this.
     • Reduced work force - smaller population is working - may slow economic growth.

3. Social Impacts

   • Positive
     • Care of grandchildren - hidden value as cost to society would be more with parents having to pay for childcare,
     • Elderly play active role in voluntary/charity/community work - most typically doing these jobs without pay.
   • Negative
     • Working pop - will have to work for longer hours + days to fund elderly for pensions - results in poor quality of life..
     • Role of family and stresses placed within the family unit by looking after elderly relatives/placing them in a care home.