Forthcoming changes to the State Pension Age

In April 2010, the Government is making a number of important changes to the state pension system.

These include:

• Increasing the State Pension Age (SPA) for women from 60 to 65, phased in over 10 years;
• Reducing the number of qualifying years needed to get the full rate Basic State Pension (BSP);
• Giving additional rights to married men and civil partners.

Further information on each of these changes is available below.

State Pension Age

Currently the State Pension Age for men is 65 and for women, 60.

Between 2010 and 2020, the State Pension Age for women will increase to 65 to ensure equality. Women born between 6 April 1950 and 5 April 1955 are affected by this change.

Between 2024 and 2026, the State Pension Age for men and women will rise to 66 years old.

Between 2034 and 2036, it will rise again to 67 years old; and between 2044 and 2046, it will rise to 68 years old. Those born after 6 April 1959 are affected by these changes.

You can calculate your State Pension Age on the Pensions Advisory Service website.

Qualifying years for basic state pension

Basic State Pension is a flat-rate pension paid to anyone who has paid enough National Insurance Contributions when they reach the State Pension Age.

Currently, the minimum Basic State Pension (25% of the full rate) is payable usually if you have 10 or 11 qualifying years. After this, the more years you work or have credited then the more Basic State Pension you earn.

Those reaching SPA on or after 6 April 2010 will only require 30 qualifying years to claim the full Basic State Pension.

Equal rights for married men and civil partners

Married women who have not paid sufficient contributions can currently receive a pension based on their husband’s contributions when they have both reached their State Pension Age.

From 6 April 2010, husbands and civil partners will be able to claim a Basic State Pension based on their wife or partner’s record.

For more information on pensions and your duties as an employer, visit the Pension Advisory Service.