A new "grey army" is set to become the new force on Britain's political landscape, according to a leading think tank.

People born between 1945 and 1965 - the so-called baby boomers - are becoming more radical and will be the major campaigning group in Britain over the next 20 years, according to research by Demos and Age Concern.

Key issues for the 17 million people will be greater choice and quality in the public services they use.

Housing and pensions are also major priorities for the group who now make up 29 per cent of the population.

They will be less ready to accept pensioner poverty and will demand more from the welfare state.

"The baby boom generation has the potential to rewrite the political agenda," said Demos.

The report also called for the government to encourage more people of retirement age to set up their own businesses and continue working.

It also floated the idea of crèches at the workplace offering facilities for elderly relatives so that carers can juggle jobs and family responsibilities.

Gordon Lishman, director general of Age Concern, warned the political parties would have to sit up and take note.

"The boomers are unlikely to put up and shut up. If the political parties fail to listen to them on priority issues like the provision of public services and retirement then they could be punished at the ballot box," he said.