Government announces a rise in pension age
In the 2013 Autumn Statement chancellor George Osborne announced the rise in the state pension age will be brought forward.
The state pension age was set to rise to 66 by 2020 and 27 by 2028. While these dates will not change, the expected rise to 68 in 2046 has been brought forward to the mid-2030s. These changes are likely to results in those currently in their 20s working until their 70th birthday.
The state pension age is now set to vary according to average life expectancy, with lifespans to be reviewed every 5 years, the first of which to be after the 2015 election. The new reforms aims to ensure that no one spends more than one third of their life drawing a pension, as rising lifespans have resulted in people spending a higher proportion of their life depending on their pensions.
If you would like more information on auto enrolment pensions, please contact Dave Gleeson on 01772 821021.