No need to change superannuation: Key

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Prime Minister John Key says he will not flag the need for future governments to change superannuation entitlements, as he believes the current settings are sustainable.

Last week Treasury issued dire warnings about the need to change superannuation policy as future Governments would not be able to afford the cost as the population ages.

At the last election, Mr Key said he would quit as Prime Minister if there were any changes to superannuation.

Some have suggested that signalling the need to increase the current age of eligibility from 65 at future point in time would not be a breach of Mr Key's promise.

Asked if his promise could still him allow to flag future change beyond his term as prime minister, Mr Key said: "Well I wasn't planning to play games. It is a fairly clear, cast iron guarantee I don't believe we should be increasing the age of eligibility and I don't intend to.

"Ultimately what future governments do is up to the Prime Minister and Cabinet of the day, in my view the position is sustainable as it stands."

Mr Key said he acknowledged there was a growing liability because of the aging population, but in his view this was affordable.

"What the Government really needs to do is focus on building a stronger economy so we can afford all the other expenses."

He did not accept a suggestion that he was putting off difficult decisions and making the job more difficult for those who follow him.

- NZPA