In the news
What’s on this page:
In the news
What’s on this page:
Key points
- There were no Budget changes that will have a direct impact on your Scheme pension.
- State pensions will increase from April 2026, helping to maintain pensioners’ real income.
- From April 2027, some death benefits and unused Defined Contribution pensions could become part of a person’s estate for Inheritance Tax.
- Once Pension Dashboards are launched, you should be able see information about all your pensions in one place.
- Make sure your personal details are up to date with all your pension schemes, so you can see the full picture on dashboards once you have access.
The Budget and your pension – at a glance
The Chancellor’s Budget announcements in 2024 and 2025 included some changes to pensions. Think of it like a recipe - even small changes can affect the final result. We’ve set out some changes relating to the State Pension and other pension schemes that could affect you. However, the good news is that none of these changes affect how your Scheme pension is built up.
State Pension
The State Pension will keep rising under the triple lock, which means it increases each April by the highest of:
- Inflation;
- Average earnings;
- or 2.5%.
From April 2026, the State Pension is expected to rise by around 4.8%.
Inheritance Tax (from April 2027)
Right now, if someone dies before they reach age 75 then there’s no Inheritance Tax charged on any death benefits paid to their beneficiaries.
From 6 April 2027, the Government intends to change this so some death benefits (and most unused pension savings in Defined Contribution pension schemes) could be counted towards the total value of a person’s estate and could be subject to Inheritance Tax.
This change is not law yet, and most of your death benefits from the Scheme are not expected to be affected.
Changes to when you can take your pension
Increase to State Pension Age
The UK government is gradually increasing the State Pension Age (SPA).
It is currently 66 for men and women, rising to 67 between 2026 and 2028. And, it may increase again in the future as people are expected to live for longer. The change is designed to make sure that the State Pension system remains financially sustainable, as more people live longer and spend more years in retirement. While these changes may seem far away, they might affect your retirement planning, including the timing of when you choose to take your pension from the Scheme.
Increase in the earliest age you can take your pension
From April 2028, the Normal Minimum Pension Age (NMPA) will increase from 55 to 57.
This is a change to the earliest age that people can start taking their pension (or pension savings) without having to pay a large tax penalty. There are some exceptions, in cases of serious ill health, or where people have a protected pension age in a pension scheme that allows them to retire earlier than the minimum age.
The change aligns with increases in the State Pension Age, and with increases in life expectancy.
Salary sacrifice pension contributions (from April 2029)
Currently, when you pay in pension contributions through salary sacrifice, you don’t need to pay National Insurance on the contribution. You also get income tax relief on what you paid in through salary sacrifice.
From 6 April 2029:
- Only the first £2,000 a year paid in through salary sacrifice will be free from National Insurance.
- Income tax relief still applies.
This only affects you if you are paying into another pension using salary sacrifice, as you no longer pay into this Scheme.
Pensions dashboards – giving you the full picture
Once they launch, Government-led pensions dashboards will let you see all your pensions in one place. Whether it’s a workplace pension, a personal pension, or the State Pension, dashboards will give you a clear picture of what you’ve saved and where your money is.
Who will be able to use a pensions dashboard?
Anyone with a UK pension. Most dashboards will ask you to verify your identity, then show your pensions from different providers in one place.
Connecting every pension scheme in the UK is a big job, so they aren’t available to members yet. We’ll let you know once our Scheme is connected and dashboards are ready to use.
What will I see on the dashboard for each scheme?
For each pension scheme that you’re a member of, your dashboard will usually show:
- The type of pension – like workplace, personal, or Defined Benefit.
- How much you’ve saved so far - for any Defined Contribution pension schemes.
- Your projected retirement income – an estimate of what your pension might pay when you retire.
- Provider details – who runs the scheme and how to contact them.
- Your contributions – what you and your employer have been paying in.
This helps you compare schemes, track progress, and plan your retirement more easily.
Do I need to do anything to make sure my pensions show up?
Yes. Check your contact details and National Insurance number with each pension provider.
If your details are out of date, some pensions might not appear. That means you could miss out on knowing what you’ve saved, making it harder to plan for the retirement you want.
Who will be able to use a pensions dashboard?
Anyone with a UK pension. Most dashboards will ask you to verify your identity, then show your pensions from different providers in one place.
Connecting every pension scheme in the UK is a big job, so they aren’t available to members yet. We’ll let you know once our Scheme is connected and dashboards are ready to use.
What will I see on the dashboard for each scheme?
For each pension scheme that you’re a member of, your dashboard will usually show:
- The type of pension – like workplace, personal, or Defined Benefit.
- How much you’ve saved so far - for any Defined Contribution pension schemes.
- Your projected retirement income – an estimate of what your pension might pay when you retire.
- Provider details – who runs the scheme and how to contact them.
- Your contributions – what you and your employer have been paying in
This helps you compare schemes, track progress, and plan your retirement more easily.
Do I need to do anything to make sure my pensions show up?
Yes. Check your contact details and National Insurance number with each pension provider.
If your details are out of date, some pensions might not appear. That means you could miss out on knowing what you’ve saved, making it harder to plan for the retirement you want.