In 2026, significant changes are on the horizon for individuals receiving the state pension or holding a private pension plan. The state pension, funded by the Government based on one’s National Insurance record, and private pensions, built through personal or workplace contributions, are in focus.

Looking ahead to 2026, it is essential to mark key dates related to retirement planning. The state pension undergoes annual increases following the triple lock mechanism, ensuring adjustments every April based on the highest of earnings growth, inflation, or a minimum of 2.5%.

From April 2026, the state pension is set to rise by 4.8%, with the new state pension increasing from £230.25 to £241.30 per week, and the basic state pension from £176.45 to £184.90 per week. Currently set at 66, the state pension age for both genders is scheduled to transition to 67 between 2026 and 2028, affecting individuals born on April 6, 1960, and onwards.

The state pension age will gradually rise, with those born on March 6, 1961, expected to retire at 67. This shift will become the standard retirement age moving forward, with a further increase to 68 projected between 2044 and 2046.

To assist in pension management, the pensions dashboard offers a centralized platform for individuals to track their retirement funds easily. By October 31, 2026, around 3,000 providers and schemes are expected to be integrated into the dashboard, following the successful connection of the first provider in April of the previous year.

Anticipated to become law in mid-2026, the Pension Schemes Bill will introduce gradual changes, including the consolidation of small pension pots under £1,000. The Department for Work and Pensions (DWP) highlights the drawbacks of multiple small pots, emphasizing the impact on savers’ returns due to various flat rate charges.