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Why Nearly Half a Million State Pensioners Will Miss the April Increase

From 6 April, millions of UK pensioners receiving the New or Basic State Pension will benefit from a 4.8% increase, thanks to the government’s Triple Lock policy. Deferred State Pension rates will rise by 3.8%, according to reports by MirrorOnline.

The Triple Lock guarantees that State Pensions increase annually by the highest of three measures: average earnings growth from May to July (currently 4.8%), inflation measured by CPI (3.8%), or a minimum of 2.5%. Following this, those on the full New State Pension will receive £241.30 per week, while recipients of the full Basic State Pension will receive £184.90.

However, while most pensioners across Great Britain can expect the rise, nearly half a million pensioners living abroad will not see this increase. An estimated 453,000 pensioners reside in countries without reciprocal pension uprating agreements with the UK. Despite having paid sufficient National Insurance Contributions, these individuals’ State Pensions remain frozen at the rate when they left the UK.

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Campaign groups like End Frozen Pensions have long campaigned for change, highlighting the hardship faced by overseas pensioners, many of whom subsist on significantly reduced incomes. The campaign has gained attention through petitions, visits to Westminster, and appeals to the UK Government, but so far, policy remains unchanged.

A particularly notable issue concerns pensioners in Commonwealth countries such as Canada and Australia, where pensions remain frozen. In contrast, retirees living in the USA or EU continue to receive uprated pensions as if they had remained in the UK. Approximately 49% of affected pensioners survive on £65 or less per week, and many report they were never informed about the pension freeze before emigrating. Some are forced to live on as little as £20 weekly.

John Duguid, leader of the End Frozen Pensions campaign, has criticized the Chancellor’s approach, stating, “The Chancellor found funds to protect pensioners at home from inflation, yet offers nothing to hundreds of thousands abroad whose pensions erode annually.” He calls the situation a “gross injustice,” pointing out the government’s own figures show that correcting this would cost just £63 million in the first year—a fraction of total pension spending.

Current basic rates stand at £230.25 per week for the full New State Pension and £176.45 for the full Basic State Pension. The upcoming increase will adjust these amounts to £241.30 and £184.90 per week, respectively, for eligible pensioners residing in the UK or countries with uprating agreements.

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