Germans told they should retire at 70

They said the move was inevitable due to low birth rates and the ballooning costs of the cradle-to-grave welfare system.

Germany has already decided to increase the retirement age from 65 to 67.

"If we look at the higher life expectancy and the shrinking birth rate in Germany, retirement age 70 will have to be introduced over time," said Michael Huether, chief of the conservative German business institute IW.

The proposal echoes a similar assessment by the European Commission which said last month that the 27 member states need to raise their retirement ages to 70 by 2060.

The topic is on the agenda across Europe, but no country is yet

planning to go beyond 68.