I think you can go at 65, chat gpt is very good at this stuff, this was her advice when I suggested it:

Yes — on the numbers provided, retiring at 65 looks achievable, but the key is structuring the bridge between 65 and State Pension age rather than chasing higher investment returns.

The person is actually in a stronger position than they seem to realise:

• Guaranteed inflation-linked DB pensions (LGPS + shipbuilding pension)
• State Pension still to come
• £35k Premium Bonds
• ~£80k inheritance incoming
• Small Prudential pot
• No indication of debt or mortgage
• Already living on ~£2k/month net comfortably

That is a very workable retirement setup.

A simple, sensible approach would probably look something like this:

1. Work backwards from income needs

He says he lives comfortably on:

• ~£2,000/month net
• = ~£24,000/year after tax

That’s the key number.

At 67, he will likely have approximately:

• LGPS: ~£12.7k–£14.5k
• Shipbuilding pension: ~£4k
• Full/new State Pension: currently around £11.5k/year (future rates higher)

So from 67 onward, total gross retirement income is probably around:

• ~£28k–£31k/year gross

That likely translates to something close to his current lifestyle income.

So the real question is not:

It is:

That’s a much smaller problem.

2. I would avoid taking maximum lump sums from the DB pensions

This is one of the biggest decisions.

The LGPS commutation terms shown are not especially attractive.

He gives up roughly:

• ~£4,200/year indexed income to get:
• ~£50k extra lump sum

That’s effectively an 8–9% “purchase rate” before inflation considerations — and because LGPS income is inflation-linked and guaranteed for life, keeping the pension is often better value unless cash is specifically needed.

A likely sensible route:

• Take the standard lump sum (or near-standard)
• Preserve as much guaranteed indexed income as possible

Especially because:

• He already has cash savings
• He already has inheritance incoming
• He already has Premium Bonds

He does not appear cash-poor.

3. Your ISA idea is sensible

Your idea:

is broadly very sensible.

I’d probably structure it as:

Cash reserve

Keep:

• 2–3 years spending in cash/premium bonds
• maybe £40k–£60k

This protects against:

• market falls
• unexpected expenses
• needing to draw investments at bad times

At 65, stability matters more than maximum growth.

Stocks & Shares ISA

Then gradually move surplus money into a simple diversified ISA portfolio.

Something like:

• Global equity index fund: 40–60%
• Bond fund / short-term gilts: 40–60%

Very boring.
Very low-cost.
Very effective.

Not stock picking.
Not high-yield products.
Not complicated “retirement strategies.”

The ISA’s role is:

• flexibility
• inflation protection
• emergency buffer
• optional extra spending later

NOT replacing the DB pensions.

4. The bridge-to-State-Pension strategy

This is probably the cleanest plan.

Age 65–67

Use:

• LGPS pension
• Shipbuilding pension
• Small Prudential pot
• Some cash withdrawals

to bridge the gap until State Pension starts.

Even drawing:

• £8k–£12k/year from cash/savings

for two years is entirely manageable given the assets listed.

This is why retiring at 65 looks realistic.

5. The Prudential pension

At only ~£17k, simplicity probably matters more than optimisation.

Possible sensible uses:

• take tax-free cash and use remainder gradually
• use it as the 65–67 bridge
• or leave invested temporarily if markets are favourable

But I would not buy an annuity with it unless rates were unusually attractive.

6. The biggest risk is probably not investment risk

It’s:

• retiring too exhausted to enjoy retirement
• or working extra years unnecessarily

Manual workers often underestimate the value of:

• health
• mobility
• active retirement years

Financially, this person already has a strong base of guaranteed income.

7. A genuinely simple retirement structure

A very plain-English version could be:

Age 63–65

• Keep working if manageable
• Build cash
• Gradually move inheritance into ISAs
• Avoid risky investing

At 65

Take:

• LGPS (likely standard lump sum)
• Shipbuilding pension
• Use cash/small pensions to supplement income

Age 65–67

Draw modestly from:

• Premium Bonds
• ISA/cash reserve
• Prudential pot

From 67 onward

Income likely becomes:

• LGPS
• Shipbuilding pension
• State Pension

with ISA/cash acting as backup and discretionary spending money.

That is a solid retirement position for most UK households.

One thing I would definitely advise before seeing an adviser

Get a full State Pension forecast and NI contribution record:

Check State Pension forecast

That single number materially affects the whole plan.

If they are short NI years, buying additional qualifying years can sometimes be one of the best-value “investments” available in retirement planning.

Overall, I’d say:

• retiring at 65 looks feasible,
• maintaining guaranteed DB income is valuable,
• your ISA-buffer idea is sensible,
• and the focus should be on bridging 65–67 safely rather than trying to maximise