The Department for Work and Pensions (DWP) has recently sent out letters to state pensioners under the age of 75, informing them of an increase in their pension payments for the 2026/27 financial year. This adjustment reflects a 4.8% rise in the New State Pension, translating to an additional £48 per month for millions of recipients.
Thanks to the government’s commitment to the Triple Lock policy, the full rate of the New State Pension has increased from £230.25 to £241.30 per week—an uplift of £11.05 weekly. Over the course of a year, this adds up to an extra £574.60, or approximately £47.88 per month.
The New State Pension applies to men born after 1951 (those aged 75 and under) and women born after 1953. Those born before these dates receive the Basic State Pension, which has seen a smaller increase.
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State pensioners are eligible to claim their pension up to four months before reaching State Pension age, but payments only begin once they hit this milestone. According to Age UK, if you delay claiming your pension after reaching State Pension age, you can request backdating of up to 12 months; however, claims cannot be backdated to a period before you became eligible.
Importantly, you can continue working while receiving your State Pension without any impact on your pension payments. However, earnings may affect your entitlement to other benefits like Pension Credit, Housing Benefit, and Council Tax Support. Also, since the State Pension is taxable, combining it with other income might push you into a higher tax bracket.
Finally, once you reach State Pension age, you are no longer required to pay National Insurance contributions—even if you continue to work.