A state pension warning has been issued to anyone aged between 55 and 64, according to a recent study by later-life financial specialists Just Group. The survey of 1,050 retired and semi-retired individuals revealed that one in four people within this age bracket (25%) are unaware they have the option to defer their State Pension.

Currently, the State Pension age in the UK is 66 for both men and women. However, under existing government plans from the Labour Party, this will rise to 67 between 2026 and 2028.

For those entitled to the New State Pension (available to individuals who reached retirement age after April 6, 2016), deferring payments can result in a significant financial boost. By delaying their claim, pensioners receive an increase of 1% for every nine weeks of deferral, equivalent to nearly 5.8% extra per year.

In the 2025/26 financial year, the full New State Pension is valued at £230.25 per week. Therefore, anyone deferring their pension by one year would see their weekly payments increase by approximately £13.35, adding up to an additional £694.20 annually.

For individuals who reached retirement age before April 6, 2016, and are eligible for the Basic State Pension, the benefits of deferral are even more generous. They accrue an additional 1% for every five weeks they postpone their claim, reports Birmingham Live. This equates to a 10.4% yearly increase, or £954.20. This additional income can be received either as enhanced weekly payments or taken as a lump sum.

Research from the Just Group has revealed a significant gender gap in awareness of pension deferral options. The study found that 26% of women were unaware they could defer their state pension, compared to just 19% of men. Furthermore, over a quarter (26%) of those aged 75 and above were also oblivious to the fact that they could delay their State Pension.