Nearly 450,000 elderly individuals in the UK are set to miss out on the upcoming increase in the state pension next year. The state pension is expected to rise by 4.7% in April, following the government’s triple lock promise. This guarantee ensures that the state pension increases annually by the highest of inflation, wage growth, or 2.5%.
Recent data from the Office for National Statistics confirms that average wage growth stands at 4.7%, while inflation is at 3.8%. Consequently, it is likely that the state pension will increase in line with wage growth. However, approximately 453,000 expatriate state pensioners residing in countries without reciprocal agreements, such as Australia, New Zealand, and Canada, will not benefit from this raise.
Individuals receiving a frozen state pension will maintain their current rate unless they return to live in the UK. Pensioners living in the European Economic Area (EEA), Switzerland, or countries with social security agreements with the UK (excluding Canada and New Zealand) may see annual increases in their state pension while residing abroad.
If the anticipated 4.7% increase is confirmed, the full new state pension will rise from £230.25 per week (£11,973 annually) to £241.05 per week (£12,534.60 annually) in April 2026, representing a yearly increase of over £560. The old basic state pension will increase from £176.45 per week (£9,175.40 annually) to £184.75 per week (£9,607 annually), with actual amounts varying based on National Insurance contributions.
Most individuals require 35 qualifying years on their National Insurance record to receive the full new state pension, with a minimum of ten years to qualify for any amount. State pensions are administered by the Department for Work and Pensions (DWP).
