Millions of Britons approaching retirement are being urged to take action as major changes to state pension payments loom.
Three simple steps could help future retirees avoid delays and unexpected shortfalls.
The state pension remains a cornerstone of retirement income for many across the UK, paying £230.25 a week – the equivalent of £11,973 a year.
But experts say relying on the state pension alone could leave future retirees short as Government reforms begin to take effect from April 2026.
Mike Ambery, retirement savings director at Standard Life, said: “People should recognise that the state pension may become less generous over time and plan accordingly.”
He added: “Building up private pension savings, engaging with workplace pensions and seeking guidance on long-term financial planning are all crucial steps.”
Financial specialists have warned that individuals need to take three key actions to prepare, including building their own pension savings, reviewing their workplace pension, and seeking advice on retirement planning.
These measures, they say, will be essential to safeguard living standards as the state pension system undergoes major change.
Three simple steps could help future retirees avoid delays and unexpected shortfalls
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GETTYThe first shift begins in April 2026, when the state pension age starts rising from 66 to 67.
The increase will be phased in gradually until April 2028, meaning millions will have to wait longer to access their payments.
Further ahead, the eligibility age is set to rise again from 67 to 68 between 2044 and 2046. The move forms part of Government efforts to keep the system sustainable as life expectancy increases.
Meanwhile, the triple lock, which guarantees annual pension increases by the highest of inflation, earnings or 2.5 per cent, faces growing pressure.
Mark Pemberthy, benefits consulting leader at Gallagher, said the policy is “unaffordable over the long term” as wage growth and inflation continue to drive up costs.
He warned: “When wages or inflation spike, the bill for the Government rises dramatically. With public finances already under strain, reform is needed soon to avoid placing an unfair burden on future generations.”
Experts believe the Government may eventually need to reform the triple lock, potentially reducing future payment increases.
At the same time, the Government has launched a new Pensions Commission to assess whether people are saving enough for retirement.
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Workers are being urged to engage with their workplace pension
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GETTYMr Ambery said: “The revival of the independent Pensions Commission offers a vital opportunity to rethink how we support people through longer working lives and ensure the system remains fair, sustainable and trusted for generations to come.”
The commission’s findings are expected to influence the ongoing state pension age review, which could lead to further adjustments in the years ahead.
Financial advisers stress that understanding the upcoming changes and preparing earlywill be crucial to protect retirement income.