Research reveals stark inequalities in UK state pension payments, with some individuals potentially receiving over £165,000 more than others over their lifetime. The disparity stems from significant regional differences in life expectancy across the country.
Analysis by Standard Life Centre for the Future of Retirement shows payment durations ranging from just over six years to nearly 20 years. Men in Blackpool have the shortest life expectancy at just over 73 years, while women in Kensington and Chelsea live beyond 86 years on average.
With the full new state pension worth £241.30 weekly, these longevity gaps translate into massive financial differences. The current state pension age of 66 is set to rise to 67 between 2026 and 2028, then to 68 between 2044 and 2046.
Growing Concerns Over Fairness
Catherine Foot, director at Standard Life Centre for the Future of Retirement, warns that future pension age increases will hit regions unequally. "While raising the state pension age further and faster than currently planned would impact everyone, it's clear that the impact wouldn't be felt equally, given the wide variations we see in life expectancy across the country," she said.
The research highlights additional barriers in certain regions where people stop working earlier due to health conditions, disabilities or caring responsibilities. "What's more, in some parts of the UK, people are more likely to stop working earlier due to health conditions, disabilities or caring responsibilities - meaning they may struggle to reach the benefit becomes available. These structural inequalities deserve close attention in the current Independent Review of the State Pension Age and future policy debates that follow it," Foot explained.
Note: This article was created with Artificial Intelligence (AI).
