New update on calls for State Pension pay of £549 each week for every person over 60

More than 59,500 people have signed an online petition calling for a ‘universal’ weekly State Pension payment of nearly £550 to bring into line with the National Living Wage. Petition creator Michael Thompson also suggests making the option to claim State Pension available to everyone from the age of 60 - six years lower than the current official age of retirement of 66.

In February, the Department for Work and Pensions (DWP) rejected the proposed payment increase that would be equivalent to 48 hours at the National Living Wage and worth £549.12 per week, or £28,554.24 over the 2024/25 financial year. However, the response hasn't deterred supporters from adding their name to the e-petition and is on track to reach the 100,000 signatures threshold before it closes on July 15, 2024.

At 100,000 signatures it would be considered by the Petitions Committee for debate in Parliament. In its written response the DWP said that the UK Government has “no plans to increase the State Pension to equal 48 hours at the National Living Wage or to be made available from age 60”.

However, the DWP added that it is “committed to ensuring economic security for people at every stage of their life, including when they reach retirement”.

The DWP response on the petitions-parliament website continued: “This year, the Government will spend over £152 billion directly on the State Pension and benefits for pensioners in Great Britain. Last year, the State Pension saw its biggest ever rise, increasing by 10.1%.

"The full yearly rate of the new State Pension is now over £10,600 per year. In addition, the full yearly amount of the basic State Pension is over £3,050 higher, in cash terms, than in 2010.”

You can read the full DWP response in full on the petitions-parliament website here.

New and Basic State Pension payments increased on April 8 by 8.5 per cent - in-line with the Triple Lock policy, while additional State Pension elements have gone up by 6.7 per cent, in-line with the September Consumer Price Index (CPI) inflation rate.

This means that someone on the full New State Pension will receive £221.20 each week in 2024/25, providing an annual income of £11,502.

Similarly, someone on the full rate of the Basic State Pension will get £169.50 each week, £8,814 over the 2024/25 financial year.

A separate petition is urging the UK Government to increase the Basic State Pension by nearly £48 each week to match the amount paid to those on the New State Pension. Nearly 12.7 million people are in receipt of the State Pension, including 9.3m on the Basic and 3.4m on the New (those who reached retirement age after April 6, 2016).

The ‘provide all pensioners born before April 1951 with the New State Pension’ petition, has received more than 13,700 signatures of support so far.

The petition states: “We would like the Government to provide all pensioners born before 6 April 1951 with the new state pension. The full new State Pension is over £200 more a month than the full basic pension. We believe this is unfair, and unjustifiable.

“We are expected to survive on less than other pensioners. We would like the same pension entitlement as people who receive the new State Pension.”

The DWP gave a similar written response in its rejection on March 28, and explained how the New and Basic State Pension cannot be compared side-by-side.

The DWP said: "Although the systems are different, they both reflect the National Insurance contributions an individual has made over their lifetimes. It is not the case that everybody who receives the New State Pension will immediately receive the full rate of £221.20 per week. Nor is it the case that everyone in the pre-2016 system only receives the basic State Pension.

"Under the pre-2016 system, people receive different amounts depending on the National Insurance contributions they made. In addition to the Basic State Pension, people could also have qualified for the additional State Pension for the years that they paid the full rate of National Insurance.

"This means that the State could pay them in excess of £200 a week on top of the basic State Pension, which may result in a much higher State Pension amount than the new State Pension."

You can view the full response on the petitions-parliament website here.

Below are the new payment rates, including the additional elements. Full details can be found on the GOV.UK website here.

New State Pension payment rates 2024/25

These payments have risen by 8.5%:

  • Full payment rate: £221.20 (from £203.85)

  • Every four-week pay period: £884.80 (from £815.40)

Basic State Pension payment rates 2024/25

These payments have risen by 8.5%:

  • Category A or B Basic State Pension (full rate): £169.50 (from £156.20)

  • Every four-week pay period: £678.00 (from £624.80)

  • Category B (lower) Basic State Pension - spouse or civil partner's insurance: £101.55 (from £93.60)

  • Category C or D - non-contributory: £101.55 (from £93.60)

Join our Daily Record Money WhatsApp community here to receive alerts on the latest money news from benefits to shopping deals.