At a glance:

• In the US, people aged 50 and over already account for more than 1 in 3 workers (34% of the workforce) in 2017 – this could rise to 42% by 2035.
• Spending by older households in the US averaged 20% of GDP in 2015; on aggregate this amounted to USD 3.6 trillion – more than the GDP of Germany.
• Americans aged 65+ spend (on average) 10 more hours caring for loved ones in their household than people at other ages.

We’ve become accustomed to ageing populations being presented as a bad thing. But far from being a cost or drain on public resources, older people’s social and economic impact is significant.

But it could be much higher if we remove avoidable barriers to working, spending, caring and volunteering, with the most important being poor health.

We know that countries that invest more in health see more people working, spending and volunteering and that investment in prevention drives a return. Spending just 0.1 percentage points more on preventative health can unlock an additional 9% in spending by older consumers and an average of 10 additional hours of volunteering across the G20.

In this report, we highlight the economic contributions of older people in the USA today and what more could be done to unlock a longevity dividend over the years to come, which could be instrumental in the post-COVID recovery.

To achieve this, we call on the US Government to adopt an Ageing Society New Deal that sees spend on prevention raised to 6% of health budgets, alongside greater support for older people’s paid and unpaid contributions.