A new online petition is calling on the UK Government to stop the gradual increase of the official State Pension age from 66 to 68 over the coming years. It proposes that the age for official retirement be set at 66 for both men and women.
Created by Stephen Pettit and posted on the petitions-parliament website, it follows a growing number of petitions calling for changes within the State Pension. Recently this has included creating a basic weekly rate for everyone over the age of 60 to £380, increasing the basic State Pension payment from £141.85 to match the full, New State Pension rate of £185.15 per week.
All the proposals in these petitions have been dismissed by the Department for Work and Pensions (DWP), however, calls to increase the weekly rate to £380 and lower the State Pension age back to 60 has received more than 102,000 signatures of support and could now be debated in Parliament.
The ‘Do not increase state pension age above 66’ petition states: “The State Pension age is set to increase from 66 to 68 over the coming years, and there are concerns this could be further increased in the future. We want the [UK] Government to halt future increases and leave the State Pension age where it currently stands for both men and women.”
It continues: “The decision made was based on the Cridland review of the State Pension, on the basis of increased life expectancies. However, increases in life expectancy have stalled in recent years, and we believe it is therefore not fair to increase State Pension Age above 66.”
At 10,000 signatures the UK Government is required to give an official response and at 100,000, it would be considered for debate in Parliament. You can view it online here.
At the start of this year, the DWP launched a second review of the State Pension age, which is now 66 for both men and women across the UK. State Pension age is regularly reviewed to make sure that it is affordable and fair as people are living longer and spending a greater proportion of their adult life in retirement than in the past.
The DWP has previously explained the reason for the review is because "when the State Pension was introduced in 1948, a 65-year-old could expect to spend 13.5 years receiving the benefit, around 23 per cent of their adult life".
However, this has been increasing ever since and it is now estimated that a 65-year-old can expect to live for another 22.8 years, or 33.6 per cent of their adult life in retirement. The latest projections from the Office for National Statistics (ONS) show that the number of people over State Pension age in the UK is expected to grow by a third to 16.9 million in 2042.
This second review will consider whether the rules around pensionable age are appropriate, based on the latest life expectancy data and other evidence.
State Pension age is now 66 and two further increases are currently set out in legislation.
These are:
- a gradual rise to 67 for those born on or after April 5, 1960
- a gradual rise to 68 between 2044 and 2046 for those born on or after April 5, 1977
The first review of State Pension age was undertaken in 2017 and concluded that the next review should consider whether the increase to age 68 should be brought forward to 2037-39 before tabling any changes to legislation.
The DWP said: “As the number of people over State Pension age increases, due to a growing population and people on average living longer, the government needs to make sure that decisions on how to manage its costs are robust, fair and transparent for taxpayers now and in the future.
“It must also ensure that as the population becomes older, the State Pension continues to provide the foundation for retirement planning and financial security.”
What will the State Pension age review consider?
The review will consider a wide range of evidence, including:
- Examining the implications of the latest life expectancy data
- Providing a balanced assessment of the costs of an ageing population and future State Pension expenditure
- Consider labour market changes and people’s ability and opportunities to work over State Pension age
- Developing options for setting the legislative timetable for State Pension age that are transparent and fair
The Pensions Act 2014 requires the UK Government to regularly review State Pension age, and in accordance with law, this latest review must be published by May 7, 2023.
With all these proposed changes it can be tricky for people to know exactly when they will qualify for State Pension and be able to retire.
Fortunately, the UK Government has provided a free and easy to use online tool which gives an exact date for State Pension qualification, just by entering your gender and date of birth.
The tool provides information on when the user will:
Reach State Pension age
Qualify for Pension Credit
Be eligible for free bus travel - which is 60-years-old for everyone in Scotland
How to use the Pension Age tool
- Choose whether you are looking to calculate your State Pension age or bus pass age - you can do one, then check the other
- Once the State Pension age option is selected, input your date of birth
- Next, select whether you're a man or woman
- The final screen reveals the exact date that you will reach State Pension age
It’s also possible from this screen to get information on when you could become eligible for Pension Credit, get a pension forecast or receive other State Pension information.
Check your State Pension age on the GOV.UK website here.
To keep up to date with the latest State Pension and benefits news, join our Money Saving Scotland Facebook page here, or subscribe to our newsletter which goes out three times each week - sign up here.
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