Major DWP state pension rule change set to start in days | Personal Finance | Finance
A major state pension change is set to start in just days. The Department for Work and Pensions (DWP) confirmed the move which will be enforced from Monday, April 6.
The State Pension age, which is the age at which people can first receive their state pension, will increase from 66 to 67 for those born on or after April 1961. It has been confirmed those born after March 6, 1961 will have a State Pension age of 67. A further increase to 68 is planned between 2044 and 2046, subject to a review.
For those born between April 6, 1960 and May 5, 1960, the state pension age will rise to 66 years and one month from April 6 this year. However, experts warn it is unclear what will happen after 2028.
As reported by Birmingham Live, Rachel Vahey, head of public policy at AJ Bell, said: “An increase to state pension age from 66 to 67 is already slated to happen between 2026 and 2028. But it’s less clear what will happen after that.”
She added: “There is also an increase to age 68 pencilled in for 2046, but a faster increase is definitely on the cards. The first two reviews of the state pension age advocated bringing this forward, but successive governments have treated the issue like a hot potato.
“This latest state pension age review, however, may eventually force the government’s hand. State pension benefits are one of the single biggest expenses for the Treasury and account for more than 80% of the £175 billion pensioner welfare bill.
“Without policy intervention, state pension costs are set to spiral to nearly 8% of GDP over the next 50 years based on the current trajectory, up from 5.2% today.”








