Property Investment News – Pension pledges left UK & US insolvent

Property Investment News – Pension pledges have left UK and US ‘insolvent’

The Telegraph – 12 Jan 2011 – ByNickyBurridge, PA

The world’s most advanced economies, including Britain and the US, would be insolvent if they accounted properly for the pension pledges and health pledges made to their aging populations, an authoritative report has warned.

More painful austerity measures, of higher taxes and further spending cuts, will be necessary in the years ahead “to cover the gap between expected future liabilities and expected future income”, the World Economic Forum said in its Global Risks 2011 report.

“Age-related liabilities dwarf short-term issues such as the cost of fiscal stimulus [in the recession],” the report added. It estimated that the undisclosed cost of age-related spending in the UK is roughly 3.5 times the size of the UK economy or around £5 trillion. Read the rest of this article…

Extra Bonus: Read our new report “Pension Time Bomb” to find out whether YOUR pension is a time bomb just waiting to go off and what you can do about it. Especially if you have considered a pension based on property investment.

About the Author

Brett has over 20 years experience in all facets of property, he owns various companies centred around property and is the driving force behind the education and training at Gladfish. His companies have sold over £850 million in UK and London property and he manages over 1200 properties through his estate agency chain. Today he shares his time between UK, Australia and Singapore. He is married to Arlene and together they have 4 kids.