A pensions expert has warned that millions of people will likely have to wait longer to receive their State Pension due to an aging population and increasing life expectancy. The State Pension age is currently 66 and is scheduled to increase to 67 between 2026 and 2028, and then to 68 between 2044 and 2046. However, due to the increasing number of people living longer and healthier lives, younger and middle-aged workers are expected to face a longer wait before they can retire.
The average life expectancy in the UK has increased, with men now living up to 78 years and women up to 82 years. As the State Pension age rises each year, workers are likely to spend fewer of these years reaping the benefits of their hard work.
The expert explained that the initial reason for raising the State Pension age was to match life expectancy, which was around 85 when the age was set at 65. As life expectancy increased, so did the State Pension age. Raising the age also reduces costs for the government, as it defers the payment of pensions for a few years.
