Media: in Europe increasingly reduce the cost of pensions

European governments are increasingly cutting pension spending, risking losing the votes of older voters. It's from sb.by.

As reported by TASS with reference to the newspaper The Daily Telegraph, British Prime Minister Andy Burnham proposed to change the mechanism of annual indexation of pensions from 2030 and exclude from it wage growth; according to the publication, such measures could cost British pensioners 1.6 thousand pounds (2.1 thousand dollars) annually for the next 20 years.

The Romanian government, under pressure from the EU to reduce the budget deficit, has decided to freeze state pensions for two years starting in 2025. The newspaper added that the French authorities proposed to reduce the indexation of payments to pensioners to 1,260 euros per month.

In the Czech Republic, the government has cut additional indexation of pensions tied to wage growth. The publication also reported that Slovakia plans to link the retirement age to life expectancy. So by 2030, it could reach 64 and continue to grow.

Analyst from the Organization for Economic Cooperation and Development (OECD), whose words the publication cites, stressed that the aging of the population in the future will lead to inevitable changes in pension systems in Europe.