Raise in state pension age means saving now could be crucial

Following the recommendation by John Cridland, the government has confirmed it will raise the state pension age from 67 to 68 between 2037 and 2039, seven years ahead of the date range originally planned.

Jonathan Watts-Lay, Director, WEALTH at work, said: “It might seem a long way off but future generations really need to think about how they are going to fund their retirement as early as possible, to get a better understanding of what they need to be doing now.

“Saving more now or working longer than planned could make a real difference and the value of well thought out planning from early on should not be underestimated.

“Financial education and guidance delivered in the workplace is crucial to help employees set and achieve their financial goals, giving them more control over their finances, and ultimately their retirement plans in the future.

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“Then, once at-retirement,  financial advice should be made available to employees to support better decision making and protect them from costly mistakes, such as paying unnecessary tax or being scammed.

“After all, helping employees make the right choices in order to optimise their retirement income should be a priority.”