Calls for DWP to scrap State Pension and hand nine million people extra £636 a year instead
Campaigners are calling for the Basic State Pension to be scrapped in favour of moving all existing beneficiaries to the enhanced New State Pension.
This change could mean nine million state pensioners on the Basic State Pension have their payments increased. A Parliament website petition calls on the Labour Party government to "abolish the Basic State Pension".
It also calls for an uprating to a "good percentage of average earnings". From April 7, state pensioners are set to receive a 4.1 per cent uplift in payments, pursuant to the Triple Lock's earnings growth stipulation, reports BirminghamLive.
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It means extra £9.05 weekly for those entitled to the full amount of the New State Pension — rising from £221.20 to £230.25 (£11,900 a year). It means those who qualify for the New rate from the DWP are poised to get a yearly raise of £921.
But those receiving the full Basic State Pension will see a weekly rise of £6.95, from £169.50 to £176.45, resulting in an extra £705.80 over each four-week payment period. This equates to an annual increase of £361.40, taking the total from £8,814 to £9,175.40 for the 2025/26 financial year.
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If the Basic rate was scrapped and they were given the New state pension, older people would get £53.80 extra a month or £636 a year. You earn qualifying National Insurance (NI) years over your lifetime, either by working and paying NI contributions, or by qualifying for NI credits. If you're in work, to earn a qualifying year, you generally need to earn a minimum amount of money during a tax year, and pay the required NI contributions.
If you work full-time, even on the minimum wage or just a few days a week throughout the year, you are likely to earn a qualifying year. And these qualifying years don't have to be consecutive. More details about the new State Pension are available here.
The DWP has unveiled major plans to change benefits system to help most vulnerable people. Changes include simplifying the service through the use of technology.