The Government has announced in the Autumn Statement 2013 that the rise in the state pension age will be brought forward earlier than expected.

The Government has announced in the Autumn Statement 2013 that the rise in the state pension age will be brought forward earlier than expected.

During Chancellor George Osborne's statement, the age of entitlement will rise to 68 in the late mid-2030s and 69 in the late 2040s and mentioned that the exact dates will be set according to future reviews.

As part of a wider parcel of "difficult decisions" which were delivered today, Osborne said that the increase in state pension age must line up with life expectancy as "people live longer and society grows older" in order for it to be affordable in the future.

He said that it would only be "fair" that no more than a third of an adult's life is spent in retirement.

Osborne also said pensions will not be included in the new welfare spending cap, which will be introduced next year and mentioned that the state pension will increase by £2.95 per week from next April.

The Government's also described the triple lock for the state pension as "fair and generous".

It was additionally revealed in the Autumn Statement that in October 2015 the Government will introduce a new class of voluntary National Insurance Contributions (NICs) to allow pensioners who reach state pension age before 6 April 2016 an opportunity to top up their additional pension records.

And finally regarding investment in exchange traded funds (ETFs) from April 2014 the Government will remove the stamp duty and stamp duty reserve tax charge on purchases of shares in ETFs that would currently apply if an ETF were domiciled in the UK.

First published 05.12.2013

monique_simpson@wilmington.co.uk