HL Deb 31 October 2002 vol 640 cc44-5WA
Baroness Masham of Ilton

asked Her Majesty's Government:

Further to the Written Answer by the Lord McIntosh of Haringey on 3 July (WA 40), why they believe that society will adapt to the social and economic problems raised by the ageing of the United Kingdom population and that these problems will prove to be manageable.[HL5955]

Lord McIntosh of Haringey

As in most other EU and OECD countries, the UK faces the challenge of an ageing population over the coming decades. However, the UK's population is ageing less rapidly than that of many other EU member states.

The UK is also in a good position to deal with these challenges. Current Government policies are fiscally sustainable over the long term. The Code for Fiscal Stability requires the government to publish illustrative long-term fiscal projections at least once a year. The latest projections, in Annex A of the 2002 Economic. and Fiscal Strategy Report,show that current public consumption can grow slightly faster than GDP while remaining consistent with the fiscal rules over the entire projection period of 30 years.

The UK is also in a strong position with regard to the diversity of sources of funds for pensions, the success of its policies for helping people from welfare into work, and the raising of standards in education.