State pension age will rise for anyone born between these years | Personal Finance | Finance

The State Pension age is all set to be increased from 66 to 67 years, with the change expected to apply to all men and women nationwide by 2028. The retirement age change has been part of the law since 2014, with another increase—from 67 to 68—planned between 2044 and 2046.

The Pensions Act 2014 accelerated the rise in the State Pension age from 66 to 67 by eight years. Instead of assigning a fixed date, the UK Government changed the system so that individuals born between 6 March 1961 and 5 April 1977 will become eligible for the State Pension when they turn 67. These changes are important to keep in mind, especially for those with retirement plans already in place.

Anyone affected will receive a notification letter from the Department for Work and Pensions (DWP) well ahead of time. Looking further ahead, the Pensions Act 2007 outlines a future increase in the State Pension age from 67 to 68, scheduled to take place between 2044 and 2046.

The Pensions Act 2014 requires the State Pension age to be reviewed at least every five years, based on the principle that people should spend a fair part of their adult life receiving a pension, reports Daily Record. 

Recently, the UK Government set up a new Pension Commission to explore ways to improve pension savings. Its report, expected in 2027, will look at issues like auto-enrolment rates, encouraging saving among self-employed workers, and reassessing the State Pension age.

Dr Suzy Morrissey is set to provide recommendations on key issues the UK Government should consider when reviewing the State Pension age, while the Government Actuary’s Department will produce a report examining how much of adult life is typically spent in retirement.

This review will factor in life expectancy and other relevant considerations that influence decisions about pension age. Once the findings are published, the Government may decide to propose changes to the State Pension age, but any such changes would need to be approved by Parliament before they can be implemented.

The State Pension age tool is a helpful online resource that allows you to find out when you’ll reach State Pension age, when you will qualify for Pension Credit, and when you are eligible for free bus travel.

If you are in Scotland, like you are, free bus travel becomes available at age 60, regardless of your State Pension age. This tool makes it easier to plan for retirement and understand what benefits you can expect and when.