Funding long-term care and benefits for the over-65s will soon cost more than three times the UK's gross domestic product (GDP), but preparations for soaring public bills has been blighted by ‘piecemeal and disconnected thinking', a renowned economist has warned.

George Magnus, economist and author of Age of Ageing, told a conference in London last week that the UK was sleepwalking into a demographic crisis, and called for a better co-ordinated approach to tackling the serious economic and social consequences of an ageing population. Mr Magnus told delegates at the UK Age Research Forum conference the total cost of funding over-65s' care and benefits throughout the remainder of their lives could soon rise above three times UK annual GDP – currently around £1.7 trillion.