State pension rises but over 500,000 retirees stuck with frozen pension – has yours risen?

The state pension rises annually under the triple lock mechanism. This means that it rises each year by whichever is the highest out of average earnings, the rate of inflation or 2.5 percent.


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This year, earnings was the highest out of the three, and it’s meant that the state pension has risen by 3.9 percent.

It means that for those who can get the full weekly rate of the basic state pension, the new rate will rise by £5.05 per week from £129.20 to £134.25 per week.

Meanwhile, the weekly full rate of the new state pension would increase by £6.60 per week from £168.60 to £175.20 per week.

As a result of the increase, in April, the basic state pension will be £1,900 more in cash terms compared to 2010, the Department for Work and Pensions (DWP) has said.

Commenting on the increase, Steven Cameron, Pensions Director at Aegon, said: “The government’s commitment to maintaining the state pension triple lock will offer some good news in a difficult climate for state pensioners as they will receive a bumper increase in state pension payments from next week.

“Under the triple lock, the state pension has been rising at the highest of earnings inflation, price inflation or 2.5 percent a year.

“This year, the state pension will be uprated against earnings growth of 3.9 percent, the highest of these benchmarks and over double the rise in inflation-linked benefits and tax credits.

“This means that those who reached state pension age after April 6, 2016, and are entitled to the full New State Pension, will see their weekly payments rise next week from £168.60 to £175.20.

“Those who reached state pension age before then, and are receiving the full Basic State Pension, will see payments rise from £129.20 to £134.25. Some in this group will also be receiving a state earnings related pension.

“At the present time, with many people including pensioners facing financial difficulties to cover their basic expenses, any extra however little helps and this inflation-busting increase offers state pensioners some much needed good news.”

However, some people will not be able to enjoy the 3.9 percent boost.

That’s because the state pension may be affected if a person lives abroad.


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The website says that the state pension will only increase each year if the individual lives in:

  • The European Economic Area (EEA)
  • Gibraltar
  • Switzerland
  • Countries that have a social security agreement with the UK (but one cannot get increases in Canada or New Zealand).

Should a person live outside of these countries, then they will not get yearly increases.

If they return to live in the UK, the pension will go up to the current rate, the government website confirms.

Among those affected is Anne Puckridge, 95, whose state pension remains at £72.50 per week from since she left the UK for Canada at the age of 76 to be closer to her daughter and grandchildren.

The World War Two veteran is a campaigner for the End Frozen Pensions campaign group, and would be getting £129.20 per week had she stayed in the UK or moved to a country which is not affected under the current rules.

According to the campaign group End Frozen Pensions, more than 520,000 British pensioners are affected by the policy.

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