The State Pension age increase to 67 in the United Kingdom will cost new pensioners up to £4,182.52 on average from July 6, 2026, as the government phases in the change over a two-year period. The age rise, which began on April 6, 2026, affects anyone born after April 6, 1960, delaying the point at which they become eligible to claim their State Pension.
How the Age Rise Affects Pensioners
The next phase of the increase begins on July 6, 2026, impacting individuals born between July 6, 1960, and August 5, 1960. Those with birthdays in this window will reach State Pension age at exactly 66 years and four months old. For example, if your 66th birthday falls on July 6, you will officially reach State Pension age on November 6, 2026, and become eligible to start claiming payments at that point.
This four-month delay means losing out on four months of State Pension payments that would have been received under the previous qualifying age of 66. The full new State Pension is currently worth £241.30 per week, amounting to £12,547.60 annually for those with a full National Insurance record. Spread across 12 months, this equates to an average of £1,045.63 per month. Consequently, the four-month wait results in a loss of up to £4,182.52 for those eligible for the full amount.
Phased Implementation and Greater Losses for Younger Pensioners
The age increase to 67 is being phased in one-month increments, meaning those with later birthdays will lose even more. According to the timetable confirmed by the Department for Work and Pensions (DWP), individuals born between specific dates will have to wait additional months before claiming their State Pension. For instance, those born between March 6, 1961, and April 5, 1977, will not be eligible until they turn 67.
The Office for Budget Responsibility (OBR) estimates that the move to 67 will save the government approximately £10 billion by the end of the decade, compared to keeping the State Pension age at 66.
Impact on Employment and Income
The Institute for Fiscal Studies (IFS) has analysed the effects of previous State Pension age increases and found that they cause some people to delay retirement and stay in paid work longer. Employment rates of affected age groups have increased by about 10 percentage points in response to past increases, with this effect fully driven by people staying in their existing jobs rather than moving to new ones. However, the IFS notes that these increases only partially offset the direct loss of income from the delayed pension.
“Previous research shows that average incomes are markedly lower among affected individuals, as they have to wait longer to receive their state pension,” the IFS said. “Lower household incomes also lead to an increase in income poverty – as the SPA was increased from 65 to 66, the income poverty rate of the affected age group (65-year-olds) rose from 10% to 24%, with the effects concentrated amongst those who were out of paid work.”
Full Timetable for State Pension Age Increase
The DWP has confirmed the following timetable for the increase from 66 to 67:
- April 6, 1960 – May 5, 1960: claim from 66 years and 1 month
- May 6, 1960 – June 5, 1960: claim from 66 years and 2 months
- June 6, 1960 – July 5, 1960: claim from 66 years and 3 months
- July 6, 1960 – August 5, 1960: claim from 66 years and 4 months
- August 6, 1960 – September 5, 1960: claim from 66 years and 5 months
- September 6, 1960 – October 5, 1960: claim from 66 years and 6 months
- October 6, 1960 – November 5, 1960: claim from 66 years and 7 months
- November 6, 1960 – December 5, 1960: claim from 66 years and 8 months
- December 6, 1960 – January 5, 1961: claim from 66 years and 9 months
- January 6, 1961 – February 5, 1961: claim from 66 years and 10 months
- February 6, 1961 – March 5, 1961: claim from 66 years and 11 months
- March 6, 1961 – April 5, 1977: claim from 67 years
Individuals can check their State Pension age via the HMRC app or GOV.UK to determine when they can start claiming.
Importance of Planning Ahead
Sarah Pennells, Royal London Consumer Finance Specialist, emphasised the need for preparation: “As the State Pension is the foundation of most people’s income in retirement, it’s important to know when you’re due to receive yours. If you don’t have this information, it’s much harder to work out how much you need to save in your workplace or personal pension, when you might want to take money out from your workplace or personal pension and how much to take.”
