UK State Pension age set to rise next year for people born between certain dates

The age in the UK is set to rise from 66 to 67 starting next year, with the increase expected to be fully implemented for all men and women across the nation by 2028. This change to the official retirement age has been legislated since 2014, with another planned increase from 67 to 68 due to take place between 2044 and 2046.

The Pensions Act 2014 accelerated the increase in the State Pension age from 66 to 67 by eight years. The also altered the phasing of the State Pension age increase, meaning that instead of reaching State Pension age on a specific date, individuals born between March 6, 1961, and April 5, 1977, will be eligible to claim the State Pension once they turn 67.

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It's crucial to be aware of these impending changes, particularly if you have a retirement plan. All those affected by the alterations to their State Pension age will receive a letter from the Department for Work and Pensions (DWP) well in advance.

According to the Pensions Act 2007, the State Pension age for both men and women will rise from 67 to 68 between 2044 and 2046.

The Pensions Act 2014 mandates a regular review of the State Pension age at least every five years. These reviews will be based on the principle that individuals should be able to spend a certain portion of their adult life receiving a State Pension, reports .

A review of the proposed increase to 68 is due before this decade ends, originally scheduled by the previous Conservative government to occur two years post-general election - which would have been 2026.

The State Pension age review will consider life expectancy and other relevant factors in setting the State Pension age. Following the review's report, the UK Government may decide to implement changes to the State Pension age. However, any proposals must pass through Parliament before becoming law.

Check your State Pension age online

Your State Pension age is the earliest age at which you can begin receiving your State Pension. It might differ from the age at which you can receive a workplace or personal pension.

People of all ages can use the online tool on GOV.UK to check their State Pension age, an essential step in retirement planning.

You can use the State Pension age tool to check:

• When you will reach State Pension age
• Your Pension Credit qualifying age
• When you will be eligible for free bus travel

Check your State Pension age online

Boosting State Pension payments

HM Revenue and Customs (HMRC) recently revealed that over 10,000 payments totalling £12.5 million have been made by individuals using the new digital service to boost State Pensions since its launch last year.

However, those looking to maximise their retirement income through the contributory benefit only have a few weeks left to fill any gaps in their National Insurance (NI) records dating back to 2006.

Time's ticking for those looking to top up their State Pension, as the usual six-tax year limit for voluntary National Insurance contributions is set to kick in after April 5 this year. However, a previous government extension means there's still a chance to make voluntary NI contributions until April 5, 2025, for tax years between April 6, 2006, and April 5, 2018, due to new State Pension transitional arrangements.

This extended deadline gives individuals extra time to weigh up their options and contribute if necessary. Those eligible to boost their New State Pension through voluntary NI contributions include men born after April 6, 1951, and women born after April 6, 1953.

It's worth noting that some might be entitled to NI credits instead of having to pay contributions, so it's important to check what's best for your situation.

For more information on making voluntary contributions, head over to GOV.UK. Working-age individuals can also peek at their State Pension forecast on the same site.

Alice Haine, personal finance analyst at Bestinvest by Evelyn Partners, the online investment platform, highlighted the importance of these contributions: "People typically need at least 10 qualifying years of NI (national insurance) contributions to receive any state pension at all and at least 35 years to receive the full new State Pension - though they don't need to be consecutive years.

"Plugging gaps can be quite an expensive process, so it is important to assess whether you actually need to buy back any missing years. This will depend on how many more years you plan to work, and whether you are eligible for NI tax credits, which fill the gaps, such as those who have been sick, were unemployed or took time out to raise a family or care for elderly relations.

"Plugging gaps in your record is relatively straightforward since the Government rolled out its new NI payments services in April last year - a State Pension forecast tool that has been checked by 3.7m since its launch."

She went on to say: "People simply need to log into their personal tax account or the HMRC app to not only view any payment gaps but also check if they can plug those gaps directly through the Government's digital channels.

"A short survey assesses the person's suitability to pay online with those eligible to pay directly given a series of options to plug any gaps depending on when someone wants to stop working.

"Calculating whether to top up can be confusing though and ultimately there is no point paying for more years than you need because you won't get that money back."

Ms Haine then said: "People who might need to top up include those that took a career break as well as low earners or expatriates living and working abroad.

"Remember, this deadline has been extended a couple of times in the past, which makes it more likely the Government will stick to the April cut-off point this time around. For this reason, those that think they might need to take action should start the process now."