State pensioners have been warned that expected Department for Work and Pensions (DWP) payments may not appear in bank accounts as anticipated. Hannah Martin, a pensions expert and founder of Rich Retiree, has raised concerns about the rising state pension age, which changed last month.
State Pension Age Increases
The government plans to raise the State Pension age from 66 to 67 between 2026 and 2028. This will affect individuals born on or after 6 April 1960. A further increase to 68 is planned between 2044 and 2046, though this may be brought forward.
Martin explained: "These people may have budgeted around receiving the state pension at 66, and will struggle with an unexpected year to find income for." She added that reports indicate more people are going without essentials as a result, with women disproportionately affected.
Impact on Retirement Planning
"It will also impact people who are planning a 'pension bridge' of ISAs, savings and other investments that will enable them to retire before they reach state pension age," Martin said. "If they are unaware of the increase in age, they could find their budgeting leaving them a year short."
Who Is Affected?
If you were born between 6 April 1960 and 5 March 1961, you will reach state pension age at 66 years and a specified number of months. From 6 April 2026, the state pension age increases to 67 for everyone born on or after 6 March 1961.
The state pension is not paid automatically. You will receive an invitation to apply about four months before reaching your state pension age. The invitation comes from The Pension Service. You can check your state pension age online using the official government tool.
