66-Year-Olds' UC Aid
MPs Urge Universal Credit Boost for 66-Year-Olds Facing Hardship Due to State Pension Age Increase
UK MPs are urging the government to boost Universal Credit payments for 66-year-olds who face financial hardship as the state pension age rises from 66 to 67, according to This is Money. The cross-party Work and Pensions Committee says tens of thousands of older people risk falling into poverty while waiting an extra year for their pension.
The pension age will reach 67 for everyone by April 2028, according to Devon Live. The committee wants a temporary increase in Universal Credit for 66-year-olds as a stopgap — even as it acknowledges the move would cost around £600 million.
Who Gets Hurt Most by the Pension Age Rise
The committee found that not all 66-year-olds can simply keep working. Around 42% of 65-year-olds and 29% of 66-year-olds are still in work, according to The Independent. But many cannot carry on — due to poor health, caring responsibilities, or physically demanding jobs.
Nearly a quarter of the poorest 60 to 65-year-olds are already working in frail health, according to Chronicle Live. Those who cannot work are being forced to dip into retirement savings early — money they set aside for later life, not to cover day-to-day bills.
£600 Million Boost Versus £10.5 Billion Saving
Raising the pension age to 67 saves the government around £10.5 billion, according to Whitehaven News. The committee's proposed Universal Credit increase would cost roughly £600 million — about 6% of that saving. MPs argue the cost is manageable and would protect the most vulnerable older people.
The committee says the boost would not significantly reduce the incentive to work, according to The Telegraph and Argus. It frames the measure as temporary — a bridge while the government works out a longer-term solution to support people in their mid-60s who can no longer earn a living.
Cross-Party Committee Calls for Urgent Government Action
The Work and Pensions Committee is made up of MPs from different parties. That cross-party backing gives the call more weight, according to Devon Live. The committee is not asking the government to reverse the pension age rise — only to cushion the blow for those who cannot wait it out.
The committee's report warns that without action, the change will push many older people into poverty through no fault of their own, according to The Independent. It is now up to the government to decide whether to act on the recommendation ahead of the 2028 deadline.
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