The UK State Pension age is set to rise again in 2026, affecting millions of citizens who rely on these payments as a key source of retirement income. This upcoming change is part of a series of reforms introduced over the past decade, gradually increasing the retirement age for both men and women.
Here’s everything you need to know about the new State Pension age, how it affects your benefits, and what steps you can take to plan your retirement.
When Will the State Pension Age Increase?
From 6 May 2026, the State Pension age will start increasing from 66 to 67. This gradual rise will continue until 6 March 2028, by which time millions of individuals born between 6 April 1960 and 5 April 1977 will be affected.
These changes stem from the Pensions Act 2014, which accelerated the increase in State Pension age from 66 to 67 by eight years, and build on previous adjustments that raised the retirement age from 65 to 66 by October 2020.
Why the Change Matters
Historically, women could claim their State Pension at 60 and men at 65. Those days are long gone, and now the retirement age is gradually increasing to reflect longer life expectancy and financial sustainability of the pension system.
Some groups, such as the WASPI women (born in the 1950s), have actively campaigned for a fairer transition, highlighting the impact of these changes on their retirement plans.
How Much Will Your UK State Pension Be?
The full State Pension currently pays £221.20 per week (£11,502 annually). Starting April 2025, it is expected to rise to £230.30 weekly (£11,975 annually), though the exact amount depends on your National Insurance (NI) contributions.
Your contributions include:
- Paid NI during employment
- Credited contributions if unable to work
- NI credited while receiving Child Benefit
To check your exact entitlement, you can visit the DWP State Pension website, which allows you to:
- See how many complete years of NI contributions you have made
- Forecast your expected pension amount
Can You Claim Your State Pension While Working?
Yes. Citizens Advice confirms that you can continue working, either paid or voluntary, while receiving your State Pension.
- Earnings do not reduce your State Pension.
- However, other benefits such as Pension Credit, Housing Benefit, and Council Tax Reduction may be affected based on your income.
Pension Credit: What You Need to Know
Pension Credit helps top up your weekly income if it falls below a certain threshold:
- Single: £218.15 per week
- Couple: £332.95 per week
Even higher earners may qualify under certain conditions, including disability, caring responsibilities, or housing costs.
Income considered for Pension Credit includes:
- State Pension and other pensions
- Employment or self-employment income
- Most social security benefits like Carer’s Allowance
Income NOT counted includes:
- Adult Disability Payment
- Attendance Allowance
- Christmas Bonus
- Child Benefit
- Disability Living Allowance
- Housing Benefit
- Winter Fuel Allowance
Savings and Investments:
- Up to £10,000 does not affect Pension Credit.
- Every £500 over £10,000 counts as £1 per week. For example, £11,000 in savings counts as £2 weekly income.
How to Plan for the Rising State Pension Age
With the State Pension age rising to 67 by 2028, seniors should consider:
- Checking your DWP State Pension forecast to know your exact start date and expected payment.
- Reviewing your National Insurance contributions to maximize your pension.
- Exploring additional income options like private pensions, savings, or part-time work.
- Understanding your eligibility for Pension Credit and other top-ups to supplement income.
Key Takeaways
- From 6 May 2026, the UK State Pension age begins increasing to 67.
- Millions of people born between 6 April 1960 and 5 April 1977 will be affected.
- Full State Pension in 2025 is £230.30 per week for those with maximum NI contributions.
- You can work while claiming your pension, but it may affect other benefits.
- Pension Credit can supplement your income if needed.
Bottom Line: The upcoming rise in State Pension age highlights the importance of planning for retirement. Seniors should check their entitlements, contributions, and potential top-ups to ensure financial stability as these changes take effect.