The State Pension age in the UK is currently set to start rising from 66 to 67 from 2026, with the increase expected to be fully implemented for men and women by 2028
The State Pension age in the UK is due to rise from 66 to 67 starting next year, with the rise anticipated to be fully realised for both genders by 2028. This change to the official retirement age has been a part of UK legislation since 2014, and a subsequent hike from 67 to 68 is scheduled to occur between 2044 and 2046.
The Pensions Act of 2014 fast-tracked the increase of the State Pension age from 66 to 67 by eight years. The UK Government also adjusted the phasing of the State Pension age elevation, meaning that instead of reaching State Pension age on a specific date, individuals born between March 6, 1961, and April 5, 1977 will qualify to claim the State Pension once they reach 67.
It’s vital to stay informed about these forthcoming changes, particularly if you have a retirement plan in place. All those affected by changes to their State Pension age will receive an advance notification letter from the Department for Work and Pensions (DWP).
According to the Pensions Act 2007, the State Pension age for both men and women will undergo another increase from 67 to 68 between 2044 and 2046. For money-saving tips, sign up to our Money newsletter here.
The Pensions Act 2014 requires a regular review of the State Pension age at least every five years. These reviews will adhere to the principle that individuals should spend a certain proportion of their adult life receiving a State Pension.
The UK’s state pension age is due for a review before the end of this decade. Originally, the Conservative government had planned this review for two years post the general election, which would have been in 2026.
The review will consider factors such as life expectancy when deciding on the State Pension age. Following the review, the UK Government may decide to adjust the State Pension age.
However, any proposed changes must be approved by parliament before they can be implemented into law. This is the earliest age at which you can start receiving your State Pension, which may not be the same as the age at which you can access a workplace or personal pension.
In terms of increasing State Pension payments, HM Revenue and Customs (HMRC) recently revealed that over 10,000 payments totalling £12.5 million have been made through the new digital service to boost State Pensions since it was launched last year. However, those looking to maximise their retirement income through the contributory benefit only have a few weeks left to fill any gaps in their National Insurance (NI) records dating back to 2006.
The duration for making voluntary National Insurance contributions has been significantly increased beyond the usual six-year limit. The past administration extended the period to allow backdated payments from April 6, 2006, to April 5, 2018, and now, under the new State Pension rules, up to April 5, 2025.
This gives individuals additional time to assess their situation and contribute further if needed. Those eligible for these top-ups include men born from April 6, 1951, and women from April 6, 1953, which can potentially raise their eventual New State Pension sum.
For some people, obtaining National Insurance credits may be a better route than making contributions, so it’s important to explore all the options.
