State pension age increase to 68 brought forward 7 years to 2037

A_T

With some recent research indicating that life expectancy is "levelling-out" there has been some speculation that the age one qualifies for the SP might be reduced by the government in years to come. Personally though I think there is almost no chance of that happening.

GunJack

A_T wrote: »

With some recent research indicating that life expectancy is "levelling-out" there has been some speculation that the age one qualifies for the SP might be reduced by the government in years to come. Personally though I think there is almost no chance of that happening.

the rate of increase is levelling out, i.e. life expectancy is still rising, just slower than it was a few years ago..no chance of a reduction unless a catastrophic event happens...

rpc

Malthusian wrote: »

The point is that there was no "original plan" that the State Pension should be payable for a third of one's adult life.

The original plan was for a rather shorter period of payment. If you look at the 1948 Beveridge pension (the basis of the current state pension) then the male pension age was 65 and the life expectancy at birth was also 65.

For women, life expectancy at birth in 1948 was 70 while the state pension age was 60.

Thrugelmir

A_T wrote: »

With some recent research indicating that life expectancy is "levelling-out" there has been some speculation that the age one qualifies for the SP might be reduced by the government in years to come. Personally though I think there is almost no chance of that happening.

Life expectancy might be levelling out to a degree due to lifestyle choices. Looking after yourself the odds are that you've a much better chance of living longer.

beaker141

JoeCrystal wrote: »

Hang on a minute, I didn't see any plan to link the age you can access your pension scheme to the state pension age. There are some talks but no actual legislation. It is still 55.

Really - I have only started proper pension planning in the last 12 months and I'd always worked on the basic of accessing personal pension from 10 years from state pension. I thought that was a rule?

If not - happy days - I can replan to earlier!

Malthusian

The Government proposed in 2014 that the minimum pension age would increase to 57 in 2028 and from then on would be State Pension Age minus ten years. They have not yet actually made it law but then they have another 10 years in which to do so. There has been no suggestion that the plan has been dropped, nor has either political party said in their manifesto that they will drop the plan.

QTC

Malthusian wrote: »

The point is that there was no "original plan" that the State Pension should be payable for a third of one's adult life.

[...]

The "original plan" referred to earlier stems from the 2013 Autumn statement, which set out a guiding principle that "... people should expect to spend, on average, up to one third of their adult life in receipt of the State Pension." I believe that "adult life" here is defined as 20+.

Looking at my SPA, I won't get the State Pension for one third of my adult life unless I exceed my cohort life expectancy by 10 years.

I suppose that the key words are "up to"...

_AB

Totally agree! How can a person plan for their retirement when the Government keep "moving the goal posts". The state pension age was first 65, then 67 and now 68...it's very sad reflection on Government failures. Where will it end...will I every get my state pension or are we all just paying in to get nothing back?


Can I encourage everyone under the 47 years old (not just those who in the ages ranges highlighted yesterday) to start pestering the Prime Minister, David Gauke (Sec of State for Work and Pensions) and their own MP's.


Martin Lewis, we need your support on this!!!!!!!!!!

_AB

Remember this is not just 1 year as the State Pension age has moved 2 years prior to that. So the point is we in this age group are left plugging a 3 years gap (that's almost a £25k shortfall).

molerat wrote: »

If a one off shortfall of £8K, with 20 years notice, is enough to derail your retirement plans then your plans are nowhere near robust enough.

_AB

zagfles wrote: »

It was mentioned in a recent budget, though unlikely to have been legislated for yet. IIRC they were talking about changing it to 57 in 2028 or so.

This is a good point! Under Pensions Freedom we were supposed to be able to access our private pension pots at 55. Has this been taken away from us as well? Clarification needed on this but it wouldn't surprise me if it gets pushed back. Time to ask David Gauke (Sec of State for Work and Pensions) as it seems this is all his brilliant idea.