Chancellor George Osborne has announced that the new flat-rate state pension of £144-a-week is being brought forward and will come into effect in April 2016 instead of 2017.

Speaking on the BBC’s Andrew Marr show, Osborne described the new pension system as a “generous pension for pensioners”. He said: “It is a huge boost for people who want to save for their retirement, and this is another example of this government helping to save, helping people who want to leave something for their children.”

NAPF chief executive Joanne Segars said: “We are squarely in favour of these vital reforms, but the government must ensure that the implementation of these changes is workable for pension funds. This is a very tight timeframe and we have to wonder if it can be delivered.

“If the government gets it wrong then this runs the risk of sparking a fresh round of final salary pension closures in the private sector. Businesses who get caught on the wrong side of these changes will lose a significant rebate from the end of contracting out, and they will question whether they want to continue running these pensions. It is essential to give pension funds the flexibility and time to adapt and make the changes. We have waited many years for these reforms. An overhaul of the state pension is long overdue and this simpler, fairer system helps set a clear foundation on which people can build their own savings. It would be a shame if big mistakes were made in a rush to implement the changes.”

Barnett Waddingham consultant Malcolm McLean said that the decision was “influenced by the criticism the government has received about the estimated 85,000 women who would not have been in the frame for the new pension in consequence of having had their state pension advanced (twice) in recent years".

McLean added: “The decision will be welcome news for those many women who stand to gain from an increase in the basic state pension in current prices from £107.45 per week to £144 per week for the single-tier. The single-tier will now be available for men born on or after 6 April 1951 and for women born on or after 6 April 1953.”

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