Labour minister Liz Kendall warns of ‘tsunami in pensioner poverty’ as she announces review of retirement age
Why millions could work for longer under new state pension reform
- Work and pensions secretary Liz Kendall has announced a review of the state pension age, potentially leading to an increase, as she relaunched the Pensions Commission.
- Ms Kendall warned of a growing threat of pensioner poverty without major reform, noting that future retirees are projected to receive less than current pensioners.
- She highlighted that the state pension's triple lock guarantee costs £31 billion annually and projected a significant increase in the pensioner population by the 2070s.
- Many individuals are not saving adequately for retirement, with nearly half of the working-age population and only one in five self-employed people not contributing to a pension.
- The newly relaunched Pensions Commission will provide recommendations by 2027 on how to boost retirement income, though it will not address the triple lock or the state pension age review.