DWP says state pensioners born after 1951 will wake up to free £230 payment

DWP says state pensioners will wake up to free £230 payment within weeks
-Credit:Reach Publishing Services Limited


State pensioners are set to be handed a £230 payment within weeks as part of a uplift in their pots. The Department for Work and Pensions ( DWP ) state pension will rise again thanks to the Triple Lock promise, which dates back to 2012.

The new state pension is for a man born on or after April 6, 1951, or a woman born on or after April 6, 1953. The full new state pension is worth £221.20 a week, or £11,502 a year, but this will rise to £230.30 a week, or £11,975 a year, from this April.

The older basic state pension is available if you’re a man born before April 6, 1951, or a woman born before April 6, 1953. The full basic state pension is worth £169.50 a week, or £8,814 a year, but this will rise to £176.45 a week, or £9,175 a year, from this April.

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Rachel Vahey, head of public policy at AJ Bell, said: "The state pension will be at a level perilously close to the frozen personal allowance and should overtake it in a couple of years if things continue, thanks to frozen tax thresholds.

"At that point something must surely give. But slowing the increase in state pension growth or unfreezing the personal allowance both seem unlikely. It could be that this fast-approaching crunch time means the government will finally be forced to address the question of how much the state pension should really offer, at what age, and how it can increase payments sustainably each year."

The amount you receive depends on whether you qualify for the new or old state pension. If you reached state pension age after April 2016, you'll receive the new, flat-rate pension. It is also dependent on claiming it - and National Insurance contributions.