Government Postpones Plan for State Pension Age 68 Increase

The Government has allegedly postponed plans to increase the state pension age increase to age 68 for those hitting stage pension age between 2044 to 2046. 

Increase in State Pension to Age 68 (current rules now being posptoned)

For those born:

• On or after 6 March 1978, the state pension age was due to increase to age 68.
• On or after 6 April 1977 to 5 March 1978, there was a transition period where pension age moves from 67 years to 67 years and 1 month and then incrementing each month by 67 years + X months through to age 68 if born on or after 6 March 1978.

Increase in State Pension Age 67 – this is to remain

For those born:

• On or after 6 March 1961, the state pension age increases to age 67.
• On or after 6 April 1960 to 5 March 1961, there is a transition period where pension age moves from 66 years to 66 years and 1 month and then incrementing each month by 66 years + X months through to age 67 if born on or after 6 March 1961.

Try Our State Pension Age Calculator (current rules apply until changes are confirmed):  State Pension Age

Comment

We suspect this is a vote chaser, with the Financial Times reporting that the decision is merely being delayed until after the next general election. 

In addition, we suggest given the social unrest and industrial action currently in France, where protests and industrial action are taking place against a move to increase the minimum state pension age from age 62 to age 64.  Either way, France’s state pension age is one of the lowest in the West but equally they pay much more in social security contributions and have to have 42 years social security credits (increasing to 43) to get a full state pension.  This compares to the UK, currently at age 66 (increasing to 67) and with 35 years social security credits.