Intergenerational Report Living Within Our Means While the ageing of the population and growth in health care costs may lead to spending pressures, Australia is better placed to deal with these challenges than most other countries. Nevertheless, early action to relieve emerging spending pressures will avoid the need for more drastic action in the future.
future spending pressures will need to be managed responsibly		Over the next 40 years, Commonwealth governments will face significant challenges. Future spending pressures will need to be managed responsibly so the quality of life of all Australians continues to improve.
Australia is well placed to meet the challenges of an ageing population		Australia's strong fiscal and economic position, maturing superannuation system, targeted age pensions and low net debt ensures that we are relatively well placed to meet the challenges. Australia's high level of participation in superannuation means that many of the people aged over 65 in the future will have saved for their retirement, reducing the pressure on age pension spending growth.
the Government has taken measures in this Budget that address future pressures		Sound decision making will ensure that the Commonwealth's Budget remains strong. This is why the Government has taken measures in this Budget to address rapid growth in the Pharmaceutical Benefit Scheme (PBS) and Disability Support Pension.
		The changes to the PBS will ensure Australians can continue to have affordable access to necessary medicines. The Government's welfare reforms will encourage more people to join the workforce by providing greater opportunities for those who have some capacity to work.
Australia's Pension Spending to Grow Relatively Slowly in the Future(a) (a) Percentage point of GDP increase by 2050.