State Pension Age

[ThatSunnyCrow]

https://www.independent.co.uk/bulletin/news/state-pension-age-2037-obr-b3015234.html

Interested in an honest discussion about this. I’m a few years younger so not affected by the changes in the article but I think my state pension age is 68.

In 1946 when state pension age was 65 life expectancy was around 65. So half of people weren’t expected to live that long.

Average life expectancy now is 80 (averaging between men and women).

Current system just wasn’t designed for a world where people were regularly expected to claim it for 15 years.

Yes it’s been discussed but the fact is legislation currently says age 67 for me. Pensions calculator on gov.uk says 67.

The law sets out state pension age not discussions. Ministers said even last week nothing has been decided yet so it’s not certain the legislation will be brought in. They need to get on with so people can plan.

The problem is access to private pension is linked to it - usually being 10 years before. I’m at an age where I had made financial plans to be able to access that money at 57. It’s not enough notice to change that. I don’t care about the state pension, I agree that’s become unaffordable (but I don’t know what to do about it because working until 68 isn’t realistic for lots of people)

I’d prefer scrapping the triple lock.

It is definitely new AND NOT CONFIRMED yet. I have just screenshotted my HMRC state pension date. I am able to draw the pension in 2039 at the age of 67, on my 67th birthday.

if they’re going to change it then it is ONLY 13 years away for me.

far better to scrap the triple lock than not allow people long enough to plan - all other changes have had a MUCH LONGER LEAD TIME.

Life expectancy has increased but that doesn't mean that people are healthier after the age of 60, they are just living longer with painful and debilitating conditions. For many people, working till 68 isn't feasible in health terms.
Don't they need older people to retire and give up jobs for young people or are they raising the school leaving age to 19 now? Or encouraging everyone to get a degree, like they did before? That didn't work in many ways but unemployment figures came down

The late changes made to the women’s retirement age by Osborne had less notice. That is precisely why they were so contentious (and those women were the era of no workplace pensions for most women and no right to a private pension).

They also “benefited” from all the years when DWP was giving factually incorrect info to those who checked with the one true source of pension info.

Scrapping the triple lock is popular who are not and won’t be dependent on the state pension in retirement. Its purpose was to prevent the situation where we had the poorest pensioners in Europe with a shameful proportion living in poverty after a life time of work.

13 years is plenty of notice.

Keep the triple lock. Increase State Pension age if that's what it takes.

We didn't grow up as idealistic naive fools thinking we would be able to retire at 60 and men at 65.

It's what we were told. By the government. Those were the legal state pension ages when we started work.

If people under 60 got a job then there would be no need for the retirement age to be raised. The whole benefits system needs to be changed. It's gone bonkers.

That’s a really interesting point. I’ve not heard that idea before.

personally, I scrape into the ‘retire at 67’ cohort. I’ve been saving into workplace pensions since I was 18 so have a reasonable pot.

I’m going to put whatever I can into a pension for my DD while I’m still earning.

This isn’t a panto. And no one has bashed pensioners that I can see. Have a lovely day.

Demographics matter….

The triple lock is unaffordable

What is really irritating me is the lack of certainty. My state pension age is currently less than 12 years away. In my working life it has gone from 60 to 65 to 67 and now possibly 68.
I have a plan for if it goes up again and how to adjust my earlier retirement but I’m still annoyed at not knowing for definite what age I retire. I also would like to know if it is going to be a straight jump to 68, or will it be phased again.

Haven’t seen his tv show, seen a couple of interviews. I’m not convinced by him. I think he’s realised saying wealth tax publicly means he can have a profitable social media career and the tv show just happens to coincide with the release of his book.

Curious to me as well that he’s a millionaire but thinks only people wealthier than him should be subject to a wealth tax.

The reason our government has no money is a combination of debt being around 95% of GDP and having to pay £110bn a year in interest payments. We live a lot longer than we did in the 1950s when the NHS started. Elderly care costs are very high and we generally have much more complex and therefore expensive healthcare needs. State pension was designed for a world where average life expectancy was 65. Someone my age has a 1 in 3 chance of living to 100 years old.

Now none of this is an attack on elderly or sick people, it’s saying the world has changed completely but our welfare system hasn’t. We need an honest conversation about the future of the welfare state and a sustainable funding model for it. Which can’t happen because it’s too difficult politically.

Even linking to an article about a change that has been announced has led to some eejit accusing me of bashing pensioners! I want the NHS and state pension to still exist 100 years from now when I’m not around, rather than burying our heads in the sand and pretending it can continue as it has done.

And it’s easy to say “tax the rich” but it doesn’t work. Scandinavian countries have better public services and high taxes but it’s ordinary people who pay more - income tax and VAT - because there aren’t that many people with £10m+ of assets around.

@ThatSunnyCrowwe can’t ever have these conversations without the “bashing the elderly” accusations

Everyone knows the triple lock is ridiculous

In ye olden days when (until well into my working life) we were told we would get state pension at 60 many, many of us did not have private pensions . Employers did not pay into our pensions unless we worked in a state sector or a well to do company. And because there was no free childcare hours and the gender pay gap worse than now, fewer of us had any savings.

Now the offer of employer contributions is compulsory and consciousness about saving raised higher. Though obviously COLC and the economy for young families is intense now.

But I doubt anyone expects a majority of people to work, or even to be able to get jobs after 65. Those who have no other means will presumably rely on UC / benefits / housing benefit etc until they get state pension.

My job disappeared with COVID when I was 63 and intending to work for another couple of years before my state pension at 66. But because I had been saving as hard as I could to cover a year before state pension kicked in and to top up SP, I had too much savings for UC etc. so had to spend it.

Its like Snakes and Ladders.

I’m 38 and while I hope I will eventually get a state pension, I don’t think it’s likely.

as I work as a ta I am on a shocking low pay, but quite a good (for my hours and wage ) local authority pension.

I also save in a Lisa , and my general (only half thought out) plan is to have my mortgage and home improvements paid off in the next five years, save into my Lisa so I can retire at 60 until I can claim work pension, and maybe one day some state pension.

I won’t be able to be a teaching assistant at 70 🤣🤣 our eldest ta at the moment is 50 and she’s struggling.

garyseconomics has good motivation but he doesn't really understand the taxation in the UK so comes out with headlines that seem shocking and increases his social media account. He isn't an economist or a UK tax professional so I would be very cautious listening to him.

The UK has now got into a benefits culture which I think is driven by a few factors, cost of housing being a significant one. There is also entitlement..my elderly neighbour believes she deserves every benefit possible. She retired in her late 50s, due to a private pension, had a big inheritance from parents London home yet feels she 100% deserves the WFA. She does not need it (as has more money than she could ever spend from pensions and investments) but she hates Kier for taking it away from her.

Why do people have this mindset and how can it be changed?

I suspect state pension will end up being means tested.

There are too many pensioners living way too long to be supported by the declining working population. The plummeting birth rate is catching up with us.

I highly doubt any UK government will be able to take the steps required to safeguard the welfare state for future generations. The country is ungovernable at the moment and endless political turmoil is the order of the day.
I'm quite cynical, but I believe the changes required will be forced on us externally, perhaps as part of the conditions of an IMF bailout or some other international intervention.

I agree, our politicians are hog-tied not being able to make the changes needed. I've said many times in posts on MN that it WILL take the IMF to enforce changes on the country. The politicians will be happy about that as they can blame "The big bad IMF" to avoid criticism.

In ye olden days when (until well into my working life) we were told we would get state pension at 60 many, many of us did not have private pensions . Employers did not pay into our pensions unless we worked in a state sector or a well to do company.

But the private pensions that did exist were better than the schemes that exist today.

I am a teacher with multiple health problems and there is no way I can continue in the classroom until 67. Since becoming ill, I have switched to a better life balance by doing p/t supply teaching, but even this is exhausting.

The state pensionable age is rising with life expectancy, not with healthy life expectancy, which acknowledges that most people over 60 have some chronic health issue that may affect their ability to work or at least work full time.

I would like a two tier pension scheme, whereby you can claim state pension from say 65 in exchange for 2 or 3 years of voluntary work (min 18 hours p/w), or stay in paid work until retirement age and not do the volunteering. It's like an older person's national service but volunteering for charities, in schools, libraries, job centres etc...