Department for Work and Pensions
State Pension top ups: pensions can be increased by up to £25 a week
Pensioners and those who reach pension age in the next 2 years will be able to get up to £25 of additional State Pension a week.
Pensioners and those who reach pension age in the next 2 years will be able to acquire up to £25 of additional State Pension a week under plans set out yesterday (2 April 2014) by the Pensions Minister.
The State Pension top up will be available from October 2015 to all those reaching State Pension age before 6 April 2016.
The scheme will allow people the opportunity to get inflation-proofed additional State Pension by making Class 3A Voluntary National Insurance contributions.
The cost of a State Pension top up is based on a person’s age and takes average life expectancy into account. For a 65-year-old an extra £1 of pension a week will be £890, whereas for a 75-year-old the contribution rate for the same amount of pension is £674.
A calculator is available online which illustrates the contribution rates based on age and how much people wish to increase their additional pension by atwww.gov.uk/state-pension-topup
Minister for Pensions Steve Webb said:
The State Pension top up will provide an opportunity for people to boost their retirement income by up to £25 a week. This is another bold action in how we build a stronger economy through choice in retirement income.
The scheme will give them a guaranteed, index-linked return and will be particularly attractive for women pensioners who will draw the higher pension for longer. It will also help the self-employed, who currently qualify for only the basic State Pension.
The top ups can be inherited, with a surviving spouse or civil partner entitled to at least 50% of the additional State Pension
This measure along with the newly announced Pensioner Bond that will be available from National Savings and Investments in 2015, demonstrates the government’s commitment to a fairer society by improving outcomes for those in retirement and providing increased flexibility for people to make the most of their savings.
People will be able to pre-register their interest online or by calling our dedicated phone line. This is available at www.gov.uk/state-pension-topup or by calling 0845 600 4270 or 0345 600 4270.
The offer will be open for 18 months.
Written ministerial statement
Contact Press Office
Media enquiries for this press release – 0203 267 5120
Follow DWP on:
Latest News from
Department for Work and Pensions
Speech at the CBI Diversity and Inclusion Conference13/06/2019 17:20:17
Alok Sharma addresses leading employers on the government’s initiatives to support disadvantaged groups into work and support greater diversity.
Wages beat inflation for 15th month in a row with record employment in April13/06/2019 13:10:00
UK workers have enjoyed an unbroken period of real-terms wage growth since February 2018, new figures yesterday show – real total pay growing by 1.2% in the last year.
End to Metro Bank "no DSS" mortgages11/06/2019 14:22:00
Latest pledge from industry to end potentially discriminatory practices which deny good quality accommodation to those on benefits.
Unnecessary disability reassessments for disabled pensioners to be phased out30/05/2019 10:10:10
The first step in scrapping unnecessary reassessments for Personal Independence Payment (PIP) for pensioners starts on Friday (31 May).
New poverty statistics developed to help government target support20/05/2019 08:10:00
New statistics to measure poverty and help target support more effectively will be developed and published by the Department for Work and Pensions (DWP).
UK employment rate at joint record high15/05/2019 12:10:00
Higher skilled roles drive joint record high employment rate of 76.1% and over 32 million people are in work in the UK, up over 3.6 million since 2010.
The Future of the Labour Market10/05/2019 16:10:00
Amber Rudd yesterday talked about the future of the Labour Market at the Recruitment and Employment Confederation.
Record employment is not enough – jobseekers need the chance of better work10/05/2019 12:10:00
The government needs to help every worker “outperform what society says they should be able to do”, no matter their background, says Work and Pensions Secretary at the Recruitment and Employment Confederation.