The second review of State Pension age has been published by the
Government today.
- State Pension age rise to 67 will take place as planned
between 2026-2028.
- Review within two years of next Parliament to reconsider rise
to age 68.
- Delivers on Government responsibility to ensure the State
Pension remains sustainable and fair across the generations.
The Government has confirmed the State Pension age will rise to
67 by the end of 2028, following a review published today.
After carefully considering expert evidence, including two
independent reports, the Secretary of State for Work and Pensions
has concluded the planned pension age rise from 66 to 67 for
those born after April 1960 remains appropriate.
The Pensions Act 2014 requires the Secretary of State for Work
and Pensions to regularly review State Pension age. To inform
this Review, two independent reports were commissioned – analysis
from the Government Actuary based on life expectancy projections
and the proportion of adult life spent in retirement, and
findings from which considered
relevant factors including life-expectancy trends.
As the number of people over State Pension age increases, the
Government must ensure it remains sustainable and fair for
current and future generations.
The Government plans to have a further review within two years of
the next Parliament to reconsider the rise to age 68.
This gives the Government appropriate time to take into account
evidence which is not yet available on the long-term impact of
recent challenges, including the Covid pandemic and global
inflationary pressures. These events bring a level of uncertainty
in relation to the current data on life expectancy, labour
markets and the public finances.
This will ensure that the Government is able to consider the
latest information to inform any future decision on the State
Pension age. This will include life expectancy and population
projections updated with 2021 Census data and the latest
demographic trends, the economic position and the impact on the
labour market of the recently announced package of measures to
tackle inactivity.
Given the wide-ranging impacts of changing the State Pension age,
it is important to take the time to get any changes right.
Secretary of State for Work and Pensions said:
It’s essential the State Pension remains sustainable and fair
across the generations. Our balanced approach will help achieve
this and ensure we continue to provide security and dignity in
retirement for millions of people across the country.
The Government remains committed to the principle of providing 10
years notice of changes to State Pension age, enabling people to
plan effectively for retirement. All options for the rise to the
State Pension age from 67 to 68 that meet the 10 years notice
period will be in scope at the next review.
Additional Information
The accompanying State Pension Age Review documents can be
found here: State Pension Age Review
2023.
