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This is Money Podcast

Will the Government raise state pension age to 68 sooner than planned - and what should those about to retire do about it?

This is Money Podcast

This is Money

Business News, Business, Investing, News

4.1650 Ratings

🗓️ 27 January 2023

⏱️ 40 minutes

🧾️ Download transcript

Summary

Those aged between 43 and 54 may have been concerned by rumours this week that the Government is planning to increase the state pension age to 68 much sooner than planned

Officially, the rise to 68 is set to happen between 2044 and 2046, but ministers allegedly want to bring forward the change to 2035 with the policy being floated for inclusion in the March Budget. 

It comes as warnings have been sounded that those retiring in future decades generations will face a gap between the income that pension savings and the state pension will provide, and what they need to live even a moderate retirement. 

This is Money's pensions and investment editor, Tanya Jefferies, deputy editor Helen Crane and host Georgie Frost discuss how likely this is to actually happen - and what pension savers could do to prepare for it. 

We also look at mortgage rates which, having gone from all-time lows to unexpected highs in the last year and a half, could now be edging down past the 4 per cent mark

Why have a raft of high street lenders cut their rates in recent days, and will they simply hike them back up again if the Bank of England decides to increase the base rate again next week? 

And what should borrowers in the unenviable position of needing to remortgage at the moment be factoring in when they make their decision? 

Another group set to be impacted by next week's base rate decision are savers. With NS&I having increased the interest rate on its ever-popular Premium Bonds from 1 per cent to 3.15 per cent in the space of a year, is that now the best place to keep your rainy day fund?

EToro's Sam North also lets us know why next week is going to be a big one for the investment market.  

Helen gives us the lowdown on which companies are doing right by their customers, and which are not.

Once renowned for its tip top service (free coffee, anyone?) John Lewis has taken a battering in Money Mail's wooden spoon awards - but it also placed high on a separate survey of the firms that customers liked best. So what is going on? 

Finally, we dish out some advice on how to spot bargains in charity shops, haggle down prices at car boot sales and then make money selling things on.

Transcript

Click on a timestamp to play from that location

0:00.0

Welcome to This Is Money Podcast. I'm Georgie Frost and joining me and Deputy Editor Helen Crane today is Pensions and Investments editor, Tanya Jeffreys. And coming up, aged 43 to 54, bad luck. You may have to work longer as rumours abound over whether the state pension age will be heighted to 68 in 2035.

0:21.9

Where is all this come from, though?

0:23.4

And is it likely?

0:24.7

Sant'an Daryne Barclay's become the latest major mortgage lenders to slash rates.

0:28.2

We'll see them back below 4% this year.

0:31.0

And with rates having risen again, our premium bonds now the best place for your rainy day savings.

0:36.4

Also today, we have the good, the bad and the downright disgraceful.

0:39.9

Helen gives us the lowdown on which companies are doing right by their customers and which most certainly are not.

0:45.6

Plus, how to spot bargains in charity shops, haggle down prices, car boot sales, and then make money selling things on.

0:51.7

Don't forget you to up to date with all the latest breaking money news.

0:54.7

Just go to this ismoney.co.com or download the app.

0:58.6

Market updates and conversations around the financial world don't have to be boring.

1:02.8

The Digest and Invest podcast by Eatoro is a great way to tune into what's happening in a fun and easily digestible format.

1:09.8

Discover the Digest and Invest podcast at Eatoro.com forward slash academy forward slash podcasts.

1:15.2

But first, there are rumours that the planned rise to the state pension age is going to be

1:19.8

sped up.

1:20.7

Officially, the rise to 68 is set to happen between 2044 and 2046.

1:26.3

However, a previous government review recommended it should be brought forward to

1:29.6

2037 to 2039. You're keeping up. The rumours now suggest it could happen as early as 2035,

1:38.0

meaning those age roughly between 43 and 54 would face working for longer. Now, there's been some

1:43.8

outcry, warnings that ill and poor people and carers will bear the brunt of the hike.

1:47.7

Younger generations too are likely to struggle.

...

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