All-time highs in spending predicted following review of seniors benefit program

A review of Canada's largest seniors benefit program is predicting all-time highs in spending over the coming years with waves of baby boomer retirements.

The report is the first glimpse into how the C-P-P expansion, phased in over the next 40 years, will affect old age security.

Canada's chief actuary writes in his report that program spending is projected to hit about 247-billion dollars by 2060.

That's an almost five-fold increase from planned spending this year, as more Canadians hit retirement and live longer, meaning more beneficiaries drawing payments for longer periods of time.

The projected increase is expected to be cushioned by ongoing economic growth even as Canada Pension Plan benefits increase.

The most recent census figures showed the ranks of seniors grew by the fastest rate in 70 years, with Statistics Canada projecting there could be 12 million seniors by 2061.

Declining birth rates mean that without increases in immigration levels, there will be fewer younger workers to replace coming waves of retirees.