Government halves state pension deferral boost

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The government has slashed the incremental increase to the state pension offered to workers who delay their retirement.

Pensions minister Steve Webb (pictured) said individuals who chose to postpone their retirement beyond the state pension age would get a 5.8% increase for each year deferred, down from 10.4% currently. He said: "I committed to publishing the proposed rate for increments derived from the deferral of a new state pension when I had advice on what would be an actuarially fair rate. "It is my intention to bring forward draft regulations later this year, under the powers in the Pension Act 2014, which will set out the proposed rate. These regulations will be subject to the affirmative proce...

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