The government must clarify the link between the minimum age for pension freedoms and the increasing state pension age, Aegon has said.

According to Aegon, “urgent confirmation” is needed as to whether the minimum age to access private pensions will remain at 55 when the state pension age increases to 66 in 2018.

At present, the pension freedoms enable savers to access their defined contribution pensions from the age of 55. Nonetheless, with the planned increase to the state pension age, Aegon is questioning whether this will also increase.

The government’s original intention was for the minimum access age to rise with the state pension age, maintaining a 10 year gap. It was also previously mentioned by government that the minimum age was intended to increase to 57 in 2028 when the state pension age increases to 67, however, neither plans have been confirmed in legislation.

Aegon pensions director Steven Cameron said: “The pension freedoms have proved very popular since they were introduced 2 years ago, with an increasing number of people choosing to access their defined contribution pots flexibly from as early as 55, the current minimum age. This age, however, is not set in stone… Recent confirmation that the state pension age will increase further to 68 earlier than previously expected could have knock-on consequences for those hoping to make early use of the freedoms, and savers need to be clear on this.

“With ongoing controversy over poor communication of increases to the state pension age for women, it’s important the government gives as much advance warning as possible of any changes in the minimum age for accessing pension freedoms. This needs to be communicated widely to avoid people wrongly assuming that the age 55 is ‘hardwired’ into the pension system.

“The government has committed to giving people at least 10 years’ notice of any further increases in state pension age. This principle should also apply to communicating any increase in the earliest age for accessing private pensions,” Cameron added.

“To date, the government has not indicated any change to the minimum access age when state pension age begins to increase to 66 starting next year. Changing the rules at such short notice would be hugely disruptive to the plans of thousands of individuals and would be highly unpopular.”

Cameron concluded that although it’s likely that people will work later than previous generations, and taking retirement income from 55 will become less common, it is not an excuse for “not communicating the rules clearly”, as it disrupts individuals’ retirement planning.

Speaking to Pensions Age, Aegon head of pensions Kate Smith added that as the gap between the minimum age and the state pension age becomes wider, some official clarification is necessary.

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