A new report by the Institute for Fiscal Studies (IFS) has revealed a concerning gap in knowledge among people nearing retirement. According to the study, one in six individuals whose State Pension Age (SPA) falls between 66 and 67 either underestimate or are completely unaware of when they can begin claiming their pension.
This widespread confusion comes just as the UK Government plans to increase the SPA from 66 to 67 between April 2026 and March 2028. The change affects hundreds of thousands of citizens, many of whom rely on the state pension as a primary source of retirement income.
A Worrying Knowledge Gap
The IFS study shows that around 130,000 people aged 55 to 64 are either unaware of their correct SPA or believe it to be lower than it is. Among the most affected are those from lower-income or lower-wealth backgrounds, where reliance on the state pension is generally higher.
This lack of awareness could have serious consequences. People misjudging their SPA may retire earlier than they can afford to, potentially leading to unexpected financial hardship in their later years.
You can access the full IFS study here.
Why the State Pension Age Is Increasing
The UK Government has steadily increased the State Pension Age over recent decades to reflect rising life expectancy and financial pressures on the pension system. As of now, the SPA is:
- 66 for both men and women
- Scheduled to increase to 67 between 2026 and 2028
- Future increases to 68 are being considered and reviewed periodically
The government justifies these increases by pointing to longer lifespans and the need to keep the system sustainable for future generations.
How to Check Your State Pension Age
To avoid confusion, individuals are encouraged to use the UK Government’s free online tool to check their personal State Pension Age and forecast.
Here’s how:
- Visit the official website
- Log in or verify your identity
- View your SPA, how much you’re likely to receive, and when you can start claiming
The tool also provides advice on boosting your pension through National Insurance contributions or deferral strategies.
Impact on Retirement Planning
The IFS report emphasizes how vital accurate knowledge of SPA is for financial planning. For many, the state pension forms the foundation of their retirement income, especially for individuals without access to private pensions or workplace schemes.
“The biggest concern is among those who are least financially prepared for retirement,” the IFS noted. “Failing to account for a later SPA could lead to a gap in income between when someone retires and when their pension starts.”
Retirement experts recommend revisiting your retirement plans at least once every two years to adjust for any policy changes or shifts in personal circumstances.
You can also get a full overview of your retirement savings through the MoneyHelper Pension Calculator, a government-backed service.
What Experts Are Saying
Several financial advisors and retirement planners have raised concerns following the IFS report.
“People need clearer communication about these changes,” said Helen Morrissey, a retirement analyst at Hargreaves Lansdown. “We often find that many individuals assume they’ll retire at 65 or earlier, unaware that the rules have shifted.”
Organizations like Age UK and Citizens Advice have also called for better outreach efforts to ensure that individuals understand their SPA and prepare accordingly.
What You Should Do Next
To protect your financial future, here’s a simple checklist:
- ✅ Use the Check Your State Pension tool
- ✅ Plan for a retirement age of 67 or later unless you have other income sources
- ✅ Consider speaking to a financial advisor or using a free service like Pension Wise
- ✅ Keep up-to-date with Government changes via GOV.UK – Pensions and Retirement
Conclusion
As the UK faces an aging population and rising life expectancy, understanding your State Pension Age is more important than ever. With the next phase of SPA increases on the horizon, thousands of people risk being caught unprepared—unless they act now.
Don’t let confusion about your SPA derail your retirement plans. Check your eligibility, know your age, and make informed financial decisions today.
This article has been carefully fact-checked by our editorial team to ensure accuracy and eliminate any misleading information. We are committed to maintaining the highest standards of integrity in our content.
Himanshu Sharma writes for Weekend Spy, focusing on recruitment, government schemes, and current affairs. He is dedicated to making complex information accessible to readers.
Himanshu enjoys playing chess, hiking, and trying new recipes, always seeking ways to combine his love for writing with his passion for exploration. Connect with Drop him an email at [email protected].
