State Pension Age Could Rise to 70 for Those Born Before 1985, Warn Experts

The state pension age in the UK could rise to 70 for those born before 1985, even if the controversial triple lock is discontinued, according to warnings from a former Department for Work and Pensions (DWP) minister.

Sir Steve Webb, the architect of the triple lock system during the Conservative-Liberal Democrat coalition government, has cautioned that individuals currently under 40 might have to work longer before qualifying for their state pension. His warning aligns with a recent report from the Office for Budget Responsibility (OBR), which projects that the planned increase in pension age to 68 could be accelerated, moving the timeline forward from 2044-2046 to 2037-2039.

Speaking to The i Paper, Sir Steve Webb, now a partner at consultancy LCP, emphasized the unsustainable nature of maintaining the current retirement age given the growing fiscal pressures. He specifically noted that those under 30 are “particularly at risk” of having the state pension age extended to 70.

The triple lock policy guarantees annual pension increases based on the highest of inflation, wage growth, or 2.5 percent, but rising costs driven by economic shocks have placed significant strain on the system. Webb highlighted the political sensitivity of raising the pension age to 70, suggesting such changes, while likely in the long term, remain politically unpalatable in the near future.

Tom Selby, director of public policy at investment firm AJ Bell, echoed concerns about rising pension costs fueled by longer life expectancy. He stated the government must act to control spending or risk cutting other public services. Selby also advised younger workers to build private pension savings, as wage increases to 70 may become inevitable.

Both experts agree that, regardless of the future of the triple lock, further and potentially faster increases in the state pension age appear unavoidable. The key question remains: when these changes will be fully implemented.