Deferring State pension - what it is worth

Details of the “Taking up the State Pension later” factsheet reveal the DWP is keen to encourage pensioners to defer as just 15,000 people do so every year for an average length of two years. This increment is designed to increase to 10.4% from 2010 for every year benefits are deferred, but the government has instead proposed to start this increased rate from 2005, to give pensioners a larger weekly pension. At present, pensioners can only defer receiving their State pension entitlements for a maximum of five years, so the government is removing the limit for anyone who chooses to con...