# Source Brief: Business of Ageing 2026 Report

**Author:** NZ Institute of Economic Research (NZIER)
**Title:** Business of Ageing 2026 Report
**Commissioned by:** Office for Seniors (Ministry of Social Development)
**Release Date:** 2026
**PDF Source:** https://www.officeforseniors.govt.nz/assets/documents/our-work/Business-of-Ageing/NZIER-Business-of-Ageing-2026-report.pdf

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## Key Findings

### Economic Contribution of Older New Zealanders (2024)

The report quantifies the total economic contribution of people aged 65+ across multiple dimensions:

| Category                                          | Current (2024)      | Projected (2074)      |
| ------------------------------------------------- | ------------------- | --------------------- |
| Paid work (employees)                             | ~$8.7 billion/yr    | $50.2 billion/yr      |
| Self-employment income                            | ~$5.1 billion/yr    | $29.3 billion/yr      |
| **Total earned income**                           | **~$14 billion/yr** | **~$80 billion/yr**   |
| Consumer spending                                 | ~$55 billion/yr     | $357.7 billion/yr     |
| Tax paid                                          | $13.1 billion/yr    | $80.1 billion/yr      |
| Unpaid work (caregiving, volunteering, household) | >$20 billion/yr     | $121–138 billion/yr   |
| **Total measured contribution**                   | **>$34 billion/yr** | **~$500+ billion/yr** |

### Workforce Participation & Projections

- **217,400** over-65s in paid work (2024), projected to **477,800** by 2074 (more than double)
- Share of national workforce: **7.1% → 10.9%**
- Nearly half (**44%**) of people aged **65–69** are employed — up from 10% in 1993
- **24%** of all over-65s are in paid work — one of the highest rates in the OECD
- Workers aged 80+: projected **389% growth** to ~44,000 by 2078 (Stats NZ)
- **80% of NZ employers have no strategy** for retaining older workers (EMA survey, Dec 2024)
- Highlights a structural shift in retirement behaviour, driven by longevity, financial considerations, and desire to remain active
- Implications for labour supply, skills retention, and intergenerational knowledge transfer

### Policy Implications

- The report challenges narratives that frame population ageing primarily as a fiscal burden
- NZIER Associate Todd Krieble: _"Population change is accelerating. This is not simply a fiscal trend. It is a structural economic shift."_
- Minister for Seniors Casey Costello: _"Our older population isn't this problem we need to solve. There is so much opportunity."_
- Argues for policy settings that enable and support ongoing participation of older New Zealanders in the economy
- Implications for NZ Superannuation age settings, retirement income policy, tax settings for older workers, and support for unpaid carers
- Retirement Commissioner Jane Wrightson cautioned participation must be **"by choice, not necessity"**

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## Political Relevance

### Portfolio Alignment

- Directly supports **Minister for Seniors (Hon Casey Costello)** portfolio narrative around the positive contribution of older New Zealanders
- Aligns with MSD/Office for Seniors strategic priorities

### Cross-Party Relevance

- NZ Superannuation affordability and retirement income settings are perennial cross-party policy issues
- The report's data on economic contribution provides a balanced evidence base for debates on:
  - NZ Super age of eligibility
  - KiwiSaver and retirement savings adequacy
  - Age discrimination and workforce participation
  - Funding for aged care and home support services
  - Housing and urban planning for an ageing population

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## Additional Media Coverage (Discovered June 2026)

- [RNZ — Paid work by over-65s worth nearly $9 billion a year](https://www.rnz.co.nz/news/business/592453/paid-work-by-over-65s-worth-nearly-9-billion-a-year-study)
- [1News — Kiwis over 65 contributing more than $34b a year](https://www.1news.co.nz/2026/04/18/kiwis-over-65-contributing-more-than-34m-a-year-to-the-economy/)
- [BusinessDesk — Economist sees opportunity in 'young old'](https://businessdesk.co.nz/article/economy/nzier-business-of-ageing-report-released-economist-sees-opportunity-in-young-old)
- [B2B News — 80% of NZ employers lack older worker strategy](https://b2bnews.co.nz/news/80-percent-of-nz-employers-lack-older-worker-strategy-despite-14b-contribution/)
- [Newsroom — Hyper-ageing population can be exploited, not treated as a burden](https://newsroom.co.nz/2026/05/07/how-we-could-stop-treating-nzs-ageing-population-as-a-burden/)

## Related Documents in This Knowledge Base

- `2026 - Beehive - Web Capture - Business of Ageing Report Launch.md` — Ministerial press release summarising headline findings
- `2026 - NZIER - Business of Ageing Report.pdf` — Full report PDF

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## Metadata

**Knowledge Base Area:** 05_Funding_and_Subsidies
**Type:** Source Brief
**Document Date:** 2026
**Capture/Curated Date:** 7 June 2026
**Status:** Complete