Brexit makes rethinking retirement “more vital than ever”, former Pensions Minister Ros Altmann says.

Leaving the EU is a wake up call for businesses to make better use of older workers, with reduced immigration, she believes.

Rethinking retirement can increase economic activity and national income short-term and long-term, Baroness Altmann said.

Her aim is to get one million more over 50s to stay in work.

Baroness Altmann made the comments following the Government's response this week to her March 2015 report as Business Champion of Older workers.

She said: “Two years has gone by and much more work needs to be done. As we prepare for Brexit and face reduced immigration, the need to hang onto more of our own older talent is greater than ever.

“It's a win-win, better for the economy, better for business and better for the individuals themselves, giving more people higher lifetime income and bigger pensions.

“With dramatic increases in life expectancy in recent years, plus the huge bulge of baby boomers reaching their 60s now, the opportunity to rethink retirement is urgent. Helping more over 60s work part-time and facilitating flexible work, will enhance productivity and growth.

“Employing more older workers in an aging population will ensure the skills and experience of older British citizens are tapped into more effectively, while also better meeting the needs of an aging customer base in many industries.”

Women in their 50s and 60s face particular disadvantages, and the Government needs to recognise this, she said.

She said: “These women were not included properly in the state pension system so they have lower state pensions than men - and their state pension age has been increased significantly without adequate warning.

“They were often excluded from workplace pensions, so they have lower private pensions too. When they had children they often lost out in terms of earnings and pensions.

“In addition, many of these women are caring for older relatives and need more flexible work opportunities to enable them to keep earning. More flexibility, more support for women and closer monitoring of unconscious bias as well as outright age discrimination is needed to help overcome such disadvantage.”

She said the Government is building on the three 'Rs' concept introduced in her 2015 report - 'Retaining, Retraining and Recruiting' older people in their workforce.

The Business Taskforce that she established has continued its work and is now trialling initiatives that can help extend working life for those who want it, as well as helping older workers combine working with caring responsibilities, as will increasingly be required, she noted.