By 3 News online staff
Prime Minister John Key has not been swayed by expert advice, public opinion or opposition pressure to act on the pension age.
Mr Key told Firstline this morning that he thinks the age of eligibility for superannuation can stay at 65, “for as long as it’s affordable”.
“The modelling we’ve done and the work that we’ve looked at indicates quite clearly that certainly up to 2020 there are no really significant issues,” says Mr Key.
He argues that overall, our pension costs remain quite low relative to other countries.
“Yes, the cost goes up a bit, but partly that’s indexation,” he says.
He disputes the outcome of a TV3 Reid Research poll, released on Monday night, which asked respondents for their views on the possible raising of the pension age.
“Seventy percent of people in your 3 News poll say don’t touch it either at all or before 2020,” says Mr Key.
However the poll actually showed 63 percent of 1000 voters questioned thought the age - currently 65 - should be raised to 66 or 67 from 2020 or even earlier, while 37 percent didn't.
“New Zealand is lagging behind on this one – people need time to make the adjustments we need this announced as soon as we can,” retirement commissioner Diana Crossan said yesterday.
When asked if he is happy being at odds with the retirement commissioner’s views on the issue, Mr Key says he thinks there are more pressing issues to be addressed.
“The retirement commissioner has been saying for quite some time that she thinks we need to raise the age of the pension from 2020, very slowly over the course of the next 12 years," says Mr Key. "Today is 2012, we have a great many issues to deal with, and they’re issues in relation to the growth of the economy.
“Saying we’re raising the age of the pension from 2020 does absolutely nothing to the national accounts today or tomorrow or the next day or the next day.”
Mr Key says he is “not really” open to a referendum being held on the issue.
3 News