State pension age set to hit 70 by 2050

An increase in the state pension age to 70 is “inevitable” after figures from the Office for National Statistics revealed a sharp rise in life expectancy.

ONS data published yesterday shows that over the past century life expectancy has risen from 51 years to 79 years for men and from 55 to 83 years for women.

Around 20 per cent of men aged 60, and 31 per cent of women, are expected to live until at least 90 years old.

Barnett Waddingham senior consultant Malcolm McLean says: “Although no one has a crystal ball and can’t be sure for certain what the future may hold for us all, the ONS figures do raise the possibility of many more people in this country living well into their nineties by the second half of this century.

“Using the formula now proposed by the Government that future generations should spend up to a third of their adult life in retirement it is very likely that state pension ages will have to rise much faster than currently anticipated, almost inevitably reaching at least 70 by the midpoint of the century.”

He adds: “Longer working lives will surely become the norm for today’s younger generations, something they will have to accept in thinking ahead for retirement and how they are going to finance them.”

The state pension age is due to rise to 65 for both men and women in 2018, before increasing to 66 by 2020 and 67 by 2028.