Ahead of this week’s budget, major pension reforms will be brought forward a year ahead of schedule, chancellor George Osborne has announced.
The introduction of a new simplified state-pension will now be introduced in 2016.
The single-tier state pension is set to provide a guaranteed income of around £144-a-week to all retirees by combining all existing benefits and credits.
The decision to implement the new pension system earlier than planned will mean thousands more retirees are able to enjoy the new system, which the chancellor hopes will please elderly voters.
Speaking yesterday on BBC1’s Andrew Marr show Osborne said it’s a “huge boost” for people who want to save for their retirement.
He said: “That is another example of how this Government is helping people who want to save, people who want to leave something to their children like their home – people who do the right thing….”