Similarly, the consultation document asks whether it is “reasonable to give people a fixed period of notice for state pension age changes, and if so what period”.
Commenting on the upcoming publication of the review, Tom Selby, head of retirement policy, said: “Jeremy Hunt’s Autumn Statement brought generally good news on the state pension. However, the state pension age review flagged by the chancellor at the despatch box could yet prove to be a painful sting in the tail.
“The review, due to be published early next year, will determine when future retirees can expect to receive their state pension. Recent data suggests life expectancy improvements have stalled, which some will argue means state pension age increases should be scaled back – or even cancelled altogether.
“But those downward shifts in life expectancy projections, in part a result of the pandemic, come after decades of rapidly rising longevity. During that period, the state pension age of women has risen by six years – mostly to make it equal to the men’s state pension age – while for men it has risen by just one year.
“In reality, younger savers need to prepare for a world where the state provides less of their retirement income than it has done historically. Indeed, it would not be surprising if those in their 20s and 30s today have to wait until their 70th birthday or beyond to receive the state pension.”