What happens if you straddle pension age increase?

Marcon

Sea_Shell said:

bownyboy said:

I want to assure your constituent the legislation to increase the Normal Minimum Pension Age (NMPA) will include transitional rules to protect people who were born between 5 April 1971 and 5 April 1973, and who have already become entitled to, and started to receive their pension. People in these circumstances will be entitled to continue receiving their pension benefits after 5 April 2028, subject to the specific rules of their pension scheme.

The word AND jumped out at me.   

So, unless I'm missing it, this doesn't clarify what happens to someone who will turn 55, but doesn't start to claim their pension immediately on hitting 55.

I think it does. 'People in these circumstances will be entitled to continue receiving their pension benefits after 5 April 2028' makes it pretty clear that if someone hasn't accessed their pension benefits from a particular scheme before 6 April 2028 are subject to the new MPA in respect of that scheme.

bownyboy

Yes, the more I read it the more I'm thinking it assumes you have crystalised your whole pot and are in drawdown. 

For me I just want to take a single UFPLS of £16,670 each year. 

Silvertabby

My reading of this is that those who started to take DBs/annuities at 55 would continue to receive them.  That's what happened the last time the minimum age was raised (50 to 55 in 2010).

What is not so clear, however, is if the same protections would apply to those who opt for drawdown.