Pensions - Articles - 20 year low birth rate continues state pension squeeze

 The ONS has released data on births in England and Wales in 2022: Births in England and Wales - Office for National Statistics 

 Helen Morrissey, Head of Retirement Analysis at Hargreaves Lansdown: After a slight increase in 2021, births resumed their downward slide in 2022, hitting the lowest number in twenty years. It’s a concerning trend as we see a burgeoning population of older people in, and moving towards, retirement and we have fewer working age people to support them.

 The fact we are living longer is a real positive but as the state pension bill continues to grow, we need to look at how we can continue to support it without placing an intolerable burden on a smaller working population. They already face their own financial challenges of saving for their own retirements and getting on the housing ladder.

 The prime minister has pledged support for the triple lock, and a review into increasing state pension age opted against accelerating the shift to 68 years old. It’s time to take a step back and look at what needs to happen to the state pension long-term to give people certainty about what they will receive and when. With a general election looming it is understandable that this is an issue government will not want to address right now but a review of the state pension is something that needs to be addressed in the very near future.”