Major Changes Ahead: How State Pension Adjustments Impact Working Adults

The Stage Pension age is set to start increasing from 66 to 67 next year, with an additional increase from 67 to 68 expected between 2044 to 2046.

State Pension Age Review
The State Pension age review, published in 2023, examined the impact of advancing the official retirement age to 2041-2043, which had been a widely debated issue during Rishi Sunak's administration due to increases in life expectancy.

Government Plans
The then-Conservative government had intended to review the State Pension age rising to 68 within two years of the general election, but those plans were effectively put on hold when Sir Keir Starmer and the Labour Party took power on July 4, 2024.

Concerns and Projections
Phoenix Insights has warned that approximately three million people would experience a delay to their retirement plans if the State Pension age increases to 68 soon. The research suggests that there will be five million more State Pensioners in the UK by 2070 compared to just one million more people of working-age.