People are living longer, but the number of years spent in ‘good’ health has rapidly declined according to the latest ONS figures.
These government statistics show that the healthy life expectancy for men declined by 1.8 years, and for women by 2.5 years. This is the lowest level since the data was first collected in 2011-13, and comes amid modest increases to overall life expectancy.
Pension experts said this downward trend in healthy life expectancy (HLE) is likely to have implications for many people’s retirement planning and wider government policy around pensions.
The figures show that between 2022 and 2024 men could expect to spend 60.7 years in ‘good’ general health, and women 60.9 years. This is down figures for HLE in the 2019 to 2021 period.
As well as gender difference, these ONS figures show significant regional variation. England continues to have the highest healthy life expectancy at birth for both men (60.9 years) and women (61.3 years).
Scotland had the lowest health outcomes for men, at just 59.1 years of good health. Wales had the lowest for women (58.5 years).
At a more local level there are even greater discrepancies, with those living in wealthier regions living healthier lives for longer. For example, Richmond upon Thames has the highest healthy life expectancy for both men (69.3 years) and women (70.3 years). Blackpool has the lowest at 50.9 and 51.8 years, respectively.
Pension experts say these new figures should also be taken into account in any future review of the state pension. The state pension age will soon be starting to increase to the age of 67, and reviews into future increases are ongoing.
LCP partner and former pensions minister Steve Webb says: “Fiscal pressures are leading governments around the world to hike state pension ages, but this risks creating a growing chasm of years in poor health before state pension kicks in.
“Benefit support for people under pension age is very meagre, and substantially below the rates available to pensioners. The Government needs to tread very carefully in making further changes to state pension ages, to avoid the risk of condemning growing numbers of people to living on the breadline for years in the run-up to drawing a state pension”.
LCP head of longevity Stuart McDonald described these latest figures as a “a wake-up call” for government and the pensions industry.
He adds: “Healthy Life Expectancy has fallen sharply in recent years and is now at the lowest levels recorded since the data series began. Today’s figures confirm that the nation’s health has not yet recovered from the shock of the Covid-19 pandemic. “
Hargreaves Lansdown head of retirement analysis Helen Morrissey says: “We may be living longer, but we aren’t living healthier, with the latest data showing healthy life expectancy has plummeted.
“These discrepancies have massive implications for our retirement planning. Poor health can have impact people’s ability to keep working and build up a pension for retirement.”
She adds: “The issue of healthy life expectancy will be key in any discussions around whether the state pension age needs to rise further. The state pension forms the backbone of people’s retirement income and yet there will be many who will have a gap of several years between potentially having to leave work and claiming this benefit.”
PensionBee VP personal finance Maike Currie adds: “There’s a worrying shift in the UK’s longevity story: while life expectancy has recovered since the pandemic, the share of life spent in good health is shrinking.
“We are not just living longer — we are living longer with illness, disability and care needs.
“Retirement spending can often be higher in the early years when we’re healthy, active and spending on travel and experiences. It then dips as life and mobility slows. It can then rise again sharply as health needs increase and care costs bite.”
She says that this needs to be factored into retirement income plans, and adds that this is a problem that disproportionately affects women, who typically have shorter ‘healthy life spans’ but live longer and retire with significantly smaller pension pots.
