UK needs a retirement age, say directors

Business leaders are warning the government today that plans to abolish the default retirement age (DRA) would have a "significant" effect on employers, especially for smaller companies.

The Institute of Directors is arguing in favour of retiring workers at 65, saying a better option would be to raise the retirement age in line with life expectancy over time to 70. Miles Templeman, the director general, said: "The government's proposal to abolish the DRA tells us that ministers are less focused than they should be on supporting entrepreneurs."