The Department for Work and Pensions (DWP) has announced important changes to the State Pension age, which will affect many individuals planning for their retirement. Starting in 2026, the State Pension age will no longer be fixed at 66, with a gradual transition to 67 beginning next year. Here’s everything you need to know about these changes and how they could affect your retirement plans.
State Pension Age Changes: What’s Happening?
The State Pension age is set to increase gradually, from 66 to 67, between 2026 and 2028. This change was initially laid out in the Pensions Act 2014, which aimed to align the pension age for both men and women across the UK. After the transition to 67, a further rise to 68 is expected between 2044 and 2046.
The increase to 67 is part of a planned series of changes to the State Pension system. A review of the proposed rise to 68 will take place before the end of this decade, with a decision based on factors like life expectancy and other relevant factors.
When Will You Reach Your State Pension Age?
The DWP has urged individuals born between 6 April 1960 and 5 March 1961 to check their State Pension eligibility through the online checker on GOV.UK. Here are some specific examples:
- Born on 6 April 1960: You will reach the State Pension age of 66 on 6 May 2026.
- Born on 5 March 1961: You will reach the State Pension age of 67 on 5 February 2028.
These dates determine when you are eligible to start receiving your State Pension, and they may vary depending on your birthdate and other individual factors.
How to Check Your State Pension Age Online
It’s simple to check your State Pension age. You can use the GOV.UK online tool to find out:
- When you will reach State Pension age
- Your Pension Credit qualifying age
To use the online tool, visit the GOV.UK website and enter your details. This is an essential step for retirement planning, as it helps you stay informed about when you’ll start receiving your pension and if you qualify for Pension Credit.
State Pension Payment Rates for 2025/26
The new State Pension and Basic State Pension amounts for the 2025/26 year are as follows:
- Full New State Pension:
- Weekly payment: £230.25
- Four-weekly payment: £921
- Annual amount: £11,973
- Full Basic State Pension:
- Weekly payment: £176.45
- Four-weekly payment: £705.80
- Annual amount: £9,175
These amounts will be automatically paid to eligible pensioners based on their individual circumstances.
Future Increases to the State Pension
The Triple Lock on State Pension increases has been promised to continue under a Labour government. The forecasted increases for the next several years are:
- 2025/26: 4.1% increase
- 2026/27 to 2029/30: 2.5% annual increase
This ensures that the value of the State Pension keeps pace with inflation, wage growth, or 2.5%—whichever is higher.
Impact of the State Pension on Taxes
As a pensioner, it’s important to understand how the State Pension may affect your taxes. The Personal Allowance (the amount you can earn before paying tax) will remain fixed at £12,570 for the 2025/26 tax year.
- If your only income is the State Pension, you won’t need to pay taxes, as it falls below the Personal Allowance.
- If you have additional income, you may need to pay taxes on the total income that exceeds the tax-free allowance.
Taxes are paid retrospectively, so if your total income exceeds the tax-free allowance in the 2025/26 fiscal year, HM Revenue and Customs (HMRC) will not issue a tax bill until July 2026.
How to Get the Full New State Pension
To receive the full New State Pension, individuals need at least 35 qualifying years of National Insurance (NI) contributions. If you don’t have the required 35 years, you may be able to “top up” your NI record by paying for missing years.
However, this process can be expensive, and you’ll need to assess if it’s worthwhile based on how much longer you plan to work.
You can check and fill any gaps in your NI contributions by logging into your personal tax account or using the HMRC app.
The National Insurance Payments Service
A new National Insurance payments service was launched in April 2025, allowing you to view and pay for missing contributions directly through digital channels. This service makes it easier to ensure that your State Pension is correctly calculated.
Key Takeaways
- The State Pension age will increase gradually from 66 to 67 between 2026 and 2028, with a further increase to 68 expected between 2044 and 2046.
- Use the GOV.UK online tool to check your specific State Pension age and verify eligibility.
- The full New State Pension for 2025/26 will be £230.25 per week, with the Basic State Pension being £176.45 per week.
- If you don’t have 35 years of National Insurance contributions, you can top up your record to receive the full pension.
- Taxes will be due on any additional income above the £12,570 Personal Allowance.
FAQs
How can I check my State Pension age?
You can check your State Pension age online using the GOV.UK tool. It will tell you when you will reach your State Pension age and whether you qualify for Pension Credit.
When will the State Pension age increase?
The State Pension age will increase from 66 to 67 by 2028, with further increases to 68 expected between 2044 and 2046.
How much will I receive from the State Pension in 2025?
The Full New State Pension will be £230.25 per week, and the Full Basic State Pension will be £176.45 per week in 2025/26.
Will I be taxed on my State Pension?
If your State Pension is your only income, you won’t be taxed. However, if you have additional income, you may be liable for taxes.
How can I top up my State Pension if I have missing National Insurance contributions?
You can log into your personal tax account or the HMRC app to check for gaps in your National Insurance record and find out how to pay for missing years online.
