HMRC has issued updated guidance alerting UK households to an upcoming change in the minimum age at which they can access their pension savings. Beginning April 6, 2028, the normal minimum pension age will rise from 55 to 57. This change affects individuals born on or after April 6, 1971.
The tax authority clarified in its latest pension newsletter that transitional arrangements are in place for those who have already accessed or become entitled to pension benefits before the new date. People aged 55 or 56 before April 2028 who have designated funds, purchased an annuity, or started receiving a scheme pension will continue to receive payments without interruption.
However, any new pension benefits crystallised after April 5, 2028, will generally require the individual to have reached the age of 57, unless they qualify for a protected pension age or another exception.
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Andrew Tully, technical director at Nucleus, described the guidance as “much needed clarification,” but noted the limited flexibility offered. He cautioned that this rule could cause delays, as no further pension benefits can be accessed until age 57 after the implementation date, potentially complicating retirement planning for some.
Adam Cole from Quilter highlighted that the rule change will particularly impact those approaching retirement in the early 2030s. He emphasized that individuals born between April 6, 1971, and April 5, 1973, should pay close attention, as they previously would have expected to access their pensions at 55 but may now face a wait of up to two additional years if they have not taken benefits before April 2028.