New SIPP rules

[skip207]

I think most people are aware that the retirement age will jump to 57 on SIPPs soon.   However I have been told that for pensions opened before 2021 the age will stay at 55.
Anyone got any info?

[fjohns83]

I believe that it changes from April 2028 and thus if you reach 55yo by 2028 you can withdraw from ssip at 55yo. If not, you need to wait until 57yo.

There is also talk of it tracking the state pension age by -10 years and there is also possibility it moves again. I am 37yo and plan for it to be closer to between 58 and 60 by then.

[bownyboy]

There's a long discussion about this over at MSE forums; with conflicting interpretation of the proposed laws. There is (was?) a window for people to offer feedback on the new proposals.

To add to the confusion it also appears to allow for institutions to decide for themselves regarding access at 55 or 57 (going on what people are saying over at MSE).

So I'm hoping I can access mine in 2028, but preparing I can't and making sure we both have enough in ISAs.

[skip207]

Still no clarity, I guess we will find out before next year? 

[never give up]

It’s an area that could certainly do with some light shining on it that’s for sure skip207.

My main information source was the comments section of this Monevator posting (comment 7 and below).
https://monevator.com/william-bengen/

It may come down to the exact wording of an individuals pension I.e. does it refer to a specific age e.g. 55 or has it got a general piece of wording around “allowed access age” or something equally wafflly. Rights are likely to be protected for older pensions that explicitly allow someone to access it at age 55. One of the comments also provides a link to a government consultation.

[shackleford]

Here's the link (I posted it in the LTA thread a while back too). 

https://assets.publishing.service.gov.uk/government/uploads/system/uploads/attachment_data/file/960034/NMPA_consultation_2021.02.10.pdf

It seems pretty clear to me that all existing pensions with the normal access age of 55 will be protected at that access age - see clause 2.5.  I don't agree with the pessimistic interpretation but then that could just be me showing a rare inclination to positive thinking...