What will Switzerland spend on pensions?

What Switzerland expects to spend on pensions, long-term care and other age-related issues is not made public by the Federal Statistical Office. This makes it hard to compare the Swiss expenditure with other European countries.

The strictly age-related expenditure is directly related to the Ageing Society and refers to the public expenditure (i.e. investments) on pensions, health, long-term care and education. At the project start, we have examined what Switzerland projects to spend in the long run on these issues, and how that relates to what other countries in Europe are spending on it. The Swiss information is derived from the Federal Statistical Office (FSO; in German Bundesamt für Statistik). However, the Federal Statistical Office only publishes the Swiss expenditure projections up to 2018. A comparison with the other European countries –which publish projections up to 2060- is hence not possible. In other words, it can not be assessed whether Switzerland projects to spend more, less or a similar proportion of its Gross Domestic Product (in German Bruttoinlandsprodukt) on age-related issues.

In contrast to the non-public expenditure projections, Switzerland does publish its demographic projections, i.e. the projections about how the Swiss population will develop over the next decennia. Switzerland currently has one of the oldest populations in Europe, together with e.g. Belgium, France and the Netherlands. The life expectancy in Switzerland is projected to rise with six years over the period 2015-2060; from a life expectancy of 83 years in 2015, to a life expectancy of 89 years in 2060. Also, the age structure of the population will change: whereas in 2015 one out of twenty people in Switzerland was over 80 years old, it is expected that in 2060, one out of eight people will be over 80 years old.