Monday, December 20, 2021

Live Long and Prosper? No

 UK proposals to raise the age of retirement should be put on hold according to a consultancy company.

Current plans would see the age at which people are eligible for the state pension go up to 67 by 2028, and then eventually to 68 but a new report says life expectancy has stalled and no changes should be made for 30 years.

 LCP argues that the move to 67 should not come until 2051, and the rise to 68 not before the mid-2060s.

Steve Webb, a partner at LCP and a former pensions minister, said: "The government's plans for rapid increases in state pension age have been blown out of the water by this new analysis.

"Even before the pandemic hit, the improvements in life expectancy which we had seen over the last century had almost ground to a halt, but the schedule for state pension age increases has not caught up with this new world." He said the government's plans should be revisited as "a matter of urgency" and there was "no case" for another state pension age increase so soon.

Baroness Ros Altmann, also a former pensions minister, said the current system helped the healthy and wealthy, but not those likely to die early.

Becky O'Connor, head of pensions and savings at Interactive Investor, said: "The idea of a long, enjoyable retirement seems set to be consigned to the history books.

Demands to delay rises in the state pension age - BBC News

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