State Retirement Pensions: Females
(asked on 23rd February 2016) - View Source
Question to the Department for Work and Pensions:
To ask the Secretary of State for Work and Pensions, what the average financial cost is to an individual woman who has seen her state pension age increased by the maximum 18 months.
Women born between 6 December 1953 and 5 October 1954 will have their state pension age increased by the maximum 18 months.
It is not possible to assess the income of every individual due to their differing characteristics. The impact on a small number of hypothetical cases was modelled for the 2011 Pensions Act Impact Assessment.
These show how women born in 1954, affected by the maximum 18 months increase, could see their total state and private pension income change, compared to the previously legislated timetable.
Women who continue to work will also receive additional income from employment. It may also be possible for women to receive other working age benefits.
The impacts can be found in Table 8 of Annex A of the Impact Assessment at:
https://www.gov.uk/government/publications/pensions-act-2011-impact-assessment
The Department published analysis on the impact of the new State Pension (nSP) in January 2016 showing that three million women gain on average over £11pw extra State Pension by 2030:
On average women will still receive 10% more new State Pension than men over their lifetime.
The change in State Pension age is designed to equalise State Pension age between men and women and to remove a long standing inequality, while the new State Pension improves outcomes for women, bringing forward by a decade the point at which women have equivalent State Pension outcomes to men (by the early 2040s instead of the early-2050s).