Saga of law to end age bias that puts paid to OAP perks

The legislation, due to come into force in 2012, is already on the statute book and enshrines in law the principle that it is illegal to discriminate or offer different terms or prices to an individual based on their age.

It could also call time on 18-30 holidays, over-21 nights at clubs, and 18-plus cinema screenings.

And it could have an impact on anyone organising pensioner bus trips or holidays, as well as what the elderly pay for motor or household insurance.

In a bid to ward off an angry army of grannies and grandads descending on Westminster, accompanied by 18-30 clubbers, politicians have offered special concessions for some age-related perks.

These will be enforced via new rules which effectively exempt certain companies and activities from the Discrimination Act. In the autumn, the government plans to begin negotiating on what should be included in the exemptions.

Saga last week met officials at both the Treasury and Government Equalities Office for talks. The travel, publishing and financial services firm, which targets the over-50s, will effectively be banned from 2012 as the legislation stands.

Saga spokesman Paul Green said: "We had wanted to set up an employment agency for the over-50s. We thought this would be a great idea. The government wants us to work longer, but it is far from easy finding a job in your 50s or even older.

"We hoped we might be able to attract employers looking for the skills older workers can offer, while giving those looking for work at a more senior age the extra help, guidance and counselling they are likely to need to find a suitable position.

"But the age discrimination legislation meant that was simply not possible. Jobs must be made available to all potential candidates irrespective of age, so we had to shelve that idea."

Saga is more optimistic that commonsense will prevail where its other business activities are concerned. It runs holidays around the world for the over-50s, insures 1.2 million older drivers, many of their homes, 40,000 of their pets, and offers financial services targeted at the over-50s.

Ministers have indicated they will be sympathetic to exempting age-related holiday clubs and insurance services where possible.

But Green says: "Our worry is about how all these little perks can be included in the exemptions. How can they be worded so that they cover the little fish shop in Stirling or the grannies' hairdresser in Auchtermuchty."

He is also nervous about proponents of "the purist view", who argue exemptions should be kept to a minimum. Some, for example, believe it is not fair for some companies to cream off the safer drivers and avoid the losses associated with younger motorists.

But Green says the case for lower premiums for older drivers and homeowners is demonstrable. "Lady drivers, for example, are cheaper at all ages because they are more risk-averse, and even when they do crash they have cheaper accidents. The only time this isn't true is for women aged in their early 70s. This is often after their husband has died and they are suddenly doing a lot more miles."