Working to 67: what the State Pension age rise means at work

Alastair Greener FPSA Generational communication expert, author and President of the PSA UK and Ireland 2026 Published 28 September 2026 · 7 min read

The State Pension age is rising from 66 to 67 in monthly steps between May 2026 and March 2028. DWP figures published in September 2026 show 72.2% of people aged 50 to 64 in work and a sharp fall in employment at the pension age, from 46.6% at 65 to 33.1% at 66. Employers can expect more colleagues working into their late sixties, some of them carers, in teams that span four generations.

The State Pension age in the UK is rising from 66 to 67 in monthly steps between May 2026 and March 2028, and the Department for Work and Pensions (DWP) says the pension age has "a statistically significant impact" on employment among older adults. For employers, that means more colleagues working into their late sixties, some of them managing a health condition or caring for someone. DWP figures published on 24 September 2026 put the employment rate of 50 to 64 year olds at 72.2%.

When does the State Pension age reach 67?

According to the DWP State Pension age timetable, people born between 6 April and 5 May 1960 reach State Pension age at 66 years and 1 month. Each later birth month adds a month, up to 66 years and 11 months, and everyone born between 6 March 1961 and 5 April 1977 reaches it at 67. The first people affected reached pension age in May 2026, and the change is complete in March 2028.

The first to feel it are the youngest Baby Boomers, born from April 1960 to 1964. Most of Generation X, born 1965 to 1980, will also reach pension age at 67 under current law, while anyone born on or after 6 April 1978 is due to wait until 68. The timetable notes that the move to 68 "could change as a result of a future review", and a third review of the State Pension age, launched in July 2025, had published no report on its gov.uk page as of late September 2026.

How many people over 50 are working?

DWP's September 2026 release on workers aged 50 and over, covering April to June 2026, puts the employment rate of 50 to 64 year olds at 72.2%, up 0.6 percentage points on the year, a change DWP says is not statistically significant. The Centre for Ageing Better noted on 22 September 2026 that more than one in four UK workers are now aged 50 to 64.

DWP estimates that "around 866,000 individuals aged 50 to 64 are either actively seeking work, or are inactive but are willing or would like to work". Of the 3.4 million people in that age group who are economically inactive, 43.8% gave sickness or disability as the main reason, 31.1% said they had retired and 12.7% were looking after home or family.

Main reasons for economic inactivity at 50 to 64Main reason given by economically inactive people aged 50 to 64

Sickness or disability43.8%
Retired31.1%
Looking after home or family12.7%

Base: 3.4 million economically inactive people aged 50 to 64 Source: DWP, published 24 September 2026

A sharp drop comes at the pension age itself. In 2026 the employment rate was 46.6% at 65 and 33.1% at 66. The last rise shows what can follow: while women's pension age rose from 60 to 65, their average age of leaving the labour market went up by 1.5 years between 2009 and 2018, DWP says. It reached 65.1 years in 2026, up from 64.7 a year earlier.

72.2%of people aged 50 to 64 were in work in April to June 2026DWP, September 2026

866,000people aged 50 to 64 are looking for work or would like to workDWP, September 2026

33.1%employment rate at age 66, against 46.6% at 65DWP, September 2026

52%of HR managers find commitment easiest to manage in 41 to 60 year oldsGenerations in the Workplace Study 2023

Why does caring shape the last decade of work?

Among economically inactive 50 to 64 year olds, women (16.5%) were twice as likely as men (7.4%) to give looking after home or family as the main reason, according to the same DWP release. The Centre for Ageing Better's Tale of Two 60s report, published on 16 September 2026, found that 29% of people aged 60 to 69 are in precarious circumstances marked by financial insecurity. Compared with their financially secure peers, they are half as likely to be in work and "more than three times as likely to be caring as their primary activity".

A later pension age means some carers will have to combine work and care for longer before their State Pension arrives. Since 6 April 2024, employees have had the right to up to one week of unpaid carer's leave every 12 months, from their first day in a job, according to Acas. The right covers England, Scotland and Wales, Carers UK notes, and the leave can be taken in half days or whole days.

What does a longer working life mean for mixed-age teams?

A team can now run from a school leaver to a colleague of 66 who has not yet reached pension age, a gap of fifty years. In our Generations in the Workplace Study 2023, 52% of HR managers found commitment easiest to manage in 41 to 60 year olds, and 51% said the same of retention, against 13% and 10% for under-25s. Over-60s came second on both, at 35% and 33%.

Age groups HR managers find easiest to manageShare of HR managers who found commitment and retention easiest to manage in each age group

41 to 60 year oldsCommitment: 52%Retention: 51%
Over-60sCommitment: 35%Retention: 33%
Under-25sCommitment: 13%Retention: 10%

HR managers could choose more than one age group. The 26 to 40 group is not shown. Source: Generations in the Workplace Study 2023

The same study found that 55% of HR managers see big age differences in expectations of working hours, and 53% in expectations of wellbeing support. Both come up quickly when someone in their sixties asks to work differently.

How can employers support people working to 67?

Ask about plans without assuming them. "When are you retiring?" can sound like a hint, while "What would you like the next few years of work to look like?" invites a real answer at 35 or at 63. Alastair's view is that we are framed by our generation, not defined by it. Two people born in 1961 can want opposite things from their last years at work.

Make phased retirement a real option. Gov.uk lists phased retirement among the types of flexible working, and outside Northern Ireland employees can ask for flexible working from their first day in a job. The forced retirement age of 65 no longer exists, so when and how someone steps back is for employer and employee to plan together.

Plan for health and caring early. Sickness or disability is the most common reason for inactivity at this age, and adjustments made in good time can help someone stay in work. Tell people that carer's leave exists and make it simple to use.

Hand knowledge on well before anyone leaves, and make it a two-way exchange so the younger colleague has something to offer too. Our guide to managing five generations at work covers the everyday side. Retirement coach Karen Krawczyk discussed retirement, reinvention and the search for purpose on the podcast in August 2026, and our 2024 post on over-50s starting new careers looked at people who changed direction late.

Frequently asked questions

When does the State Pension age rise from 66 to 67?

People born between 6 April and 5 May 1960 reach State Pension age at 66 years and 1 month, and each later birth month adds a month. Everyone born between 6 March 1961 and 5 April 1977 reaches it at 67. The first people affected reached pension age in May 2026 and the rise ends in March 2028.

Can an employer make someone retire at 66 or 67?

Usually not. Gov.uk says the forced retirement age of 65 no longer exists and that you can keep working past your State Pension age. An employer can set a compulsory retirement age only with a good reason, such as a job that needs certain physical abilities or one with an age limit set by law, like the fire service.

What is phased retirement?

Phased retirement means cutting your hours gradually instead of stopping work on a single date. Gov.uk lists it as a type of flexible working, which employees outside Northern Ireland can request from their first day in a job. The employer must consider the request in a reasonable manner, discuss it before refusing, and decide within two months unless both sides agree to longer.

How many people aged 50 to 64 are in work?

72.2% of people aged 50 to 64 were in work in April to June 2026, according to DWP figures published on 24 September 2026. That was up 0.6 percentage points on the year, a change DWP says is not statistically significant. Another 866,000 in the age group were looking for work or would like to work.

Talk to Alastair about a workshop for managers on communicating across the generations.

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