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Page last updated at 08:27 GMT, Monday, 25 January 2010

'Big boost to the economy' from extending retirement age

People should be allowed to work beyond the age of 65 and with more flexible hours, the Equality and Human Rights Commission (EHRC) has said.

Andrea Murray, of the EHRC, called for much more imaginative approaches to retirement, saying an extension to the default retirement age would lead to a "big boost" to the economy.

Retirement should be "about capability and not about age", she said.

But David Yeandle, from the manufacturers' organisation EEF, said that his members were happy with the default retirement age.

While he welcomed a proper debate on the issue, he said the government should not make decisions based on one report.

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