Reference News Network reported on October 21 that with the continuous growth of life expectancy, the cost of some public services will continue to rise, and the pressure on the government budget will continue to increase in the coming decades. According to a report of the organization for economic cooperation and development, if tax increases are to be avoided, countries should raise the retirement age to match the growth of life expectancy, and carry out structural reforms in the labor market.

According to the report on the budget challenges of OECD member countries from now until 2060, COVID-19 has already had a major impact on public debt. However, compared with the tension caused by the continuous aging of the population and the rise in the relative price of services, this direct impact of the epidemic is "dwarfed".

The report also said that the report was released in Paris on the 19th. The report points out that without major reforms, the proportion of public health and long-term care expenditure in GDP will increase by an average of 2.2 percentage points from 2021 to 2060. On the other hand, the proportion of pension expenditure will increase by an average of 2.8 percentage points.

The report warned: "if we do not change policies, maintain the current standards of public services and welfare, and stabilize the public debt ratio at the current level, the budget pressure within the OECD will increase by an average of nearly 8 percentage points between 2021 and 2060, and even more in some countries."

The report shows that if retirement is delayed for two years for every three years of life expectancy, the average per capita GDP within the OECD can increase by 3%, and "Belgium, France and Spain will increase by 5% to 6%".