The British State Pension: Good Effort, But Could Do Better...

27 October 2017

British state pension A new report on state pensions from around the world has said that the British state pension is "a good effort, but could do better". The study, the Melbourne Mercer Global Pension Index is a detailed analysis of state pensions in 30 countries.

Top of the state pension league is Denmark who has had this position for the last six years, closely followed by the Netherlands and Australia. Argentina props up the table with Japan and India.

Talking about the new study, Jacques Goulet, president of health and wealth at Mercer, explained the need for countries to address sustainability when considering pension reform.

"Increasing life expectancies and low investment returns are having significant long-term impacts on the ability of many systems around the world to deliver adequate retirement benefits both now and into the future," he said.

"These pressures have alerted policymakers to the growing importance of intergenerational equity issues."

"This is due to a combination of factors including a lack of assets set aside for the future, low labour force participation at older ages, and significant demographic changes towards an ageing population," said Goulet. "If left unchanged, these systems will create societal pressures where pension benefits are not distributed equally between generations."

The full list of the 30 countries and their index score is as follows:

  • Denmark - 78.9
  • Netherlands - 78.8
  • Australia - 77.1
  • Norway - 74.7
  • Finland - 72.3
  • Sweden - 72
  • Singapore - 69.4
  • Switzerland - 67.6
  • New Zealand - 67.4
  • Chile - 67.3
  • Canada - 66.8
  • Ireland - 65.8
  • Germany - 63.5
  • Colombia - 61.7
  • UK - 61.4
  • France - 59.6
  • USA - 57.8
  • Malaysia - 57.7
  • Poland - 55.1
  • Brazil - 54.8
  • Austria - 53.1
  • Italy - 50.8
  • Indonesia - 49.9
  • South Africa - 48.9
  • Korea - 47.1
  • China - 46.5
  • Mexico - 45.1
  • India - 44.9
  • Japan - 43.5
  • Argentina - 38.8
  • Author Profile
    • Sp avatar Chris Wall

      Chris is a Business Development Director at Smart Pension.