Scottish Widows - increase to state pension age

Ian Naismith, Head of Pensions Market Development comments: "We believe that the indication from the Government that the state pension age will rise more quickly than previously planned is a positive move.

"We live in an ageing society and will all have to work longer, a need which has only been increased by the economic climate of recent years.  Our own research has found that many people acknowledge they will have to work longer, even if it means moving to part time work.  Raising the state pension age will give added encouragement to plan for a longer working life.  It will also make improvements to state pensions, such as restoration of the link to average earnings, affordable over the long term.  The key for those planning for retirement is that they build up an adequate pension pot to fund their retirement years. Ideally people need to be saving at least 12% of their income each month to ensure they have a comfortable retirement, and more if they plan to retire before state pension age.  We welcome any measure that will encourage people to save more, for longer so that the majority of people can enjoy their retirement years without worrying about how they will fund them."