Despite the deputy leader of the labour party, Harriet Harman, telling Age UK that only ‘massive public sector policy change’ would tackle ageism and allow people to work past the current state retirement age the government says it has no plans to scrap forced retirement at age 65.
Harman went on to say that ‘the change in the number of well older people demands a change in public policy’, however according to Peter Mandleson Harman’s views did not reflect those of the government.
However, an official review looking into retirement ages is due to happen this year, although plans could clearly change as a result of the upcoming general election.
In the current economic climate flexibility in the labour market is essential for the ongoing health of the economy. Furthermore, our experience as Independent Financial Advisers is that the notion of an individual reaching state retirement age, taking their various pensions and completely ceasing work is now rare. More and more clients require a large degree of flexibility in how they draw their pensions with an increasing number choosing to continue to work past the State Retirement Age and putting off taking an income from their pension until a later date.