2. Challenges of an Aging Population
•There are already more
people aged over 60 than
under 16.
•This shift has massive
implications for health
care, housing and
pensions.
3. The Dependency Ratio
• The UK is facing a growing burden of
‘dependency’ as the proportion of the population
aged over 65 is growing.
• The Dependency Ratio compares the proportion
of the population that is economically non-
productive with the proportion that are
economically productive (i.e. those that earn and
those that don’t).
• A score of over 70 suggest a lack of balance,
indicating high numbers of dependants in
comparison with working tax payers.
4. The Dependency Ratio
• The UK is facing a growing burden of
‘dependency’ as the proportion of the population
aged over 65 is growing.
• The Dependency Ratio compares the proportion
of the population that is economically non-
productive with the proportion that are
economically productive (i.e. those that ear and
those that don’t).
• A score of over 70 suggest a lack of balance,
indicating high numbers of dependants in
comparison with working tax payers.
10. Challenges of an Ageing Population
1. Government concerns
• Fewer and fewer people working means that
government has less tax coming in. More
dependants than the past.
• More elderly people still demand services e.g.
health care and pensions.
11. Challenges of an Aging Population
2. Pensions (ECONOMIC)
• Increasing number of people living longer means
more people will receive the state pension.
• In 1950 there was one pensioner per five
economically active, today there are three.
• The government has raised the retirement age and in
2026 it will rise from 65 to 66 and by 2046 it will be
68.
• Private companies like Tesco's are also raising their
age of retirement due to longer life expectancy.
13. Challenges of an Aging Population
3. Hospitals (economic) and care homes (social)
a. More space is needed in hospitals. As people are living
longer, more illnesses such as dementia are a lot more common.
This means that more people are admitted to hospital.
Problem of care (e.g. nurses, cooks, etc.) for people in Arizona,
dementia capital of the world. (Dementia – Louis Theroux in Arizona the
dementia capital of the world - clip here )
b. Care Homes. More and more care homes need to be
built to house the increasing % of over 65’s in UK. More jobs e.g.
nurses, chefs, receptionists, etc. Also problem of planning
controls to build more big care homes.
(South East ageing population need more care homes. E.g. Silvermere Care Home, Cobham here )
14. Challenges of an Aging Population
4. Housing (economic)
People living longer means that they stay in their
houses for longer. This means that there is a
shortage of housing (demand higher than supply).
As a result house prices rise higher and higher.
Houses need to be adapted for the needs of elderly
(e.g. stair lifts or loo’s downstairs). Problem of cost
to convert house.
Rise in demand (and price) of bungalows.
15. Challenges of an Aging Population
5. Demand for specific services (economic and
social)
The aging population requires some certain
specific services (use of the Grey Pound)and
there can be a challenge to provide these;
1. Holidays for over 65’s (Saga Holidays -
Cruises)
2. Insurance services
3. Gardening Products
16. Benefits of a greying population
1. Volunteering
2. Spending money on goods
and services
3. Earning money and paying
tax
4. Bringing wisdom and
experience to the world of
politics and commerce.