Rise in state pension age from 67 to 68 brought forward

The decision means the state pension age increasing from 67 to 68 between 2037 and 2039 - seven years earlier than previously planned - to reflect increasing longevity.

The government's decision to increase the United Kingdom state pension age to 68 sooner than previously expected is in line with recommendations of John Cridland's recent official Review.

Speaking in the House of Commons today, Work and Pensions Secretary David Gauke said that the Government had to "face up to this long-term challenge not pretend it doesn't exist".

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Existing plans to raise the retirement age to 66 and 67 remained unchanged, he added. A combination of increases in life expectancy, and the growing number of retirees relative to the working age population, means that individuals will have to save harder for their own retirement'.

But the DWP said that keeping the state pension age at 66 would cost more than £250 billion over the period to 2045/46, compared with the Government's plans.

A statement from the department said this acceleration will bring retirement age "in line with continuing increases in life expectancy", because "people are living longer, and spending a larger proportion of their adult life in retirement than in the past".

Gauke said that the change is equivalent to a saving of around £400 per household based on the number of households today.

It's still the case that the state pension is likely to form the lion's share of the retirement income for a majority of people - so delaying the age at which you get it is a serious step, and should not be embarked upon lightly.

There will be another state pension age review in the next parliament, and I hope that will provide a chance to reconsider these issues.

A separate report from the Government Actuary's Department, also out today, seems to point towards the state pension age rising to 70 for anyone now aged 30 or under.

When the modern state pension was introduced in 1948, a 65-year-old could expect to live a 13-and-a-half years, or 23 per cent of their adult life.

Shadow pensions secretary Debbie Abrahams condemned the Government's "slash and burn" policies on social security, which she said would hit older people, particularly those facing health problems in later life.

The median life expectancy for a male in the United Kingdom is 86, and 89 for a female.

The age at which a person can access the state pension in the United Kingdom will be raised over 2 years by 2037.

"It's clear why the UK Government held back until after the election and did not publish this on the legal date it was supposed to on May 7, as this would have undoubtedly lost the Tory Party even more seats than they did", said Ms Blackman. Without any rises in the state pension age this is set to rise to 6.5% by 2039/40.

"This is the double bite of austerity - workers are expected to work longer and could now be at risk of dying sooner".


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