Global population aging drives urban competition and social service strain

Urban planner Alain Bertaud warns that global population aging will force cities to compete for younger residents. Speaking in Porto Alegre, Bertaud noted that while populations in Europe, North America, and Brazil are aging, major metropolises like Tokyo and Bangkok continue to grow, contributing to the decline of rural areas.

Bertaud suggests cities should move away from competing via tax exemptions and instead focus on attracting recent graduates by improving lifestyle amenities and ensuring housing affordability. He highlighted that high housing costs in cities like Vancouver drive skilled workers to suburbs, reducing productivity due to long commutes.

In Portugal, the aging population is outpacing the expansion of social services. According to the 2024 Social Charter, only 11.4% of the elderly population in mainland Portugal has access to social coverage, such as nursing homes, home care, or day centers. Despite a 16.7% increase in social responses for the elderly between 2010 and 2024, the coverage rate has seen a downward trend since 2021 as the number of citizens aged 65 and older rises rapidly.