Minimum Pension Age To Increase
The normal minimum pension age is set to increase from 55 to 57 from 6 April 2028. This is the minimum age at which most adult savers can access their pensions without incurring an unauthorised payments tax charge. This measure was first announced in 2014.
There will be limited exceptions for those who have a protected pension, which means they can continue to take certain pension benefits earlier than age 57 and for those with serious ill-health. Members of the firefighters, police and armed forces public service schemes will also be exempt from this change.
The last time the minimum age was increased was in April 2010, when the age increased from 50 to 55.
The government is expected to legislate for this change in the upcoming Finance Bill and draft legislation has recently been published. The government will also provide further details on proposed transitional arrangements in due course.
Looking to discuss your personal tax accounts with us? Get in touch today here.