Forties People

Employees who are 50-plus should be allowed to stay in their job after reaching the age of 65, a business group has insisted.

The government this week confirmed that it is bringing its review on the default retirement age forward.

This has been welcomed by the Federation of Small Businesses (FSB), which said its members believe older workers make a very valuable contribution.

Indeed, a poll by the FSB found that almost two-thirds of smaller enterprises do not believe there should be a default retirement age.

National chairman John Wright commented: "Many small business owners have no intention of putting in place a blanket policy to retire their staff at 65."

He added that nearly eight out of ten small firms believe retirement should be based on a mutual decision between the employee and employer.

Labour deputy leader Harriet Harman this week told the Daily Mail that the default retirement age is an arbitrary figure that bears no relation to people's ability.