State pension age rise to 66 delayed - Pensions - News - Moneyfacts

News

Moneyfacts.co.uk News brings you the latest financial & economic news & reviews of the best products in the UK by our team of money experts.

State pension age rise to 66 delayed

State pension age rise to 66 delayed

Category: Pensions

Updated: 17/10/2011
First Published: 17/10/2011

MONEYFACTS ARCHIVE
This article was correct at the time of publication. It is now over 6 months old so the content may be out of date.
The Government has confirmed that plans to increase the state pension age for women to 66 have been put back by six months.

As part of the effort to cut the budget deficit, the coalition has set plans in motion to increase the state pension age for women from 60 to 65 by 2018, and then to 66 by 2020.

But the proposals were criticised, as some women faced an extra wait of two years before they could draw their state pension.

Both Labour and the Liberal Democrats had spoken out against the plan.

But it has been decided that the increase in the state pension age for both men and women will be put back to October 2020.

It means that the maximum delay for taking a state pension has been reduced to 18 months – a decision that it is thought will benefit around 245,000 women.

The decision is expected to cost the Government around £1 billion.

"This is great news for the 245,000 women around the country who will benefit from this change," said Harriet Baldwin, MP for West Worcestershire and member of the Work and Pensions Select Committee.

"It shows that the government has listened to the concerns of those who would have been worst affected by the increase in the state pension age.

"This means that nobody will have to wait more than 18 months longer to receive their state pension."

The Government also said that it is to spend an additional £45 billion on pensioners in the next 15 years because of its guarantee to increase the state pension each year by the highest of earnings, prices or 2.5%.

Disclaimer: Information is correct as of the date of publication (shown at the top of this article). Any products featured may be withdrawn by their provider or changed at any time.

Related Articles

Have you lost track of your pensions?

The changing nature of the jobs market means it’s highly likely that you’ve got more than one pension pot, but the question is, do you know where they all are? According to research from Aegon, many people don’t.

Grandparents missing out on pension protection

Grandparents who give up work to take care of their grandchildren could be missing out on valuable state pension rights. So, if you're a grandparent taking care of a little one, make sure you’re building up all of the pension that you deserve.

Setting goals could boost your pension pot by £30K

Setting goals can be the key to success in many areas of life, helping motivate you to achieve anything from career progression to building up that house deposit - and if you have goals set for retirement, you could boost your pension by £30,000.
 
Close