Campaigners have formally submitted their case to the UK's Pensions Commission for ending frozen State Pensions, a policy affecting around 453,000 people living overseas. The proposed change would cost an estimated £38 million in its first year, according to senior MP Sir Roger Gale, who supports the campaign.
Coalition of countries unites
The latest newsletter from the Canadian Alliance of British Pensioners (CABP) provides an update following a Westminster roundtable in April, which brought together MPs and representatives from Australia, Canada, South Africa, Pakistan and the Falkland Islands. The meeting, held on April 22, marked the first time such a broad coalition had formally come together to examine the frozen pensions policy and its international impact.
CABP reports that representatives from the five countries expressed a willingness to develop joint strategies aimed at finding a resolution. Meanwhile, CABP and End Frozen Pensions International have formally submitted evidence to the Pensions Commission setting out their case for ending frozen State Pensions.
Cost of fixing the injustice
Sir Roger Gale, who attended the roundtable, highlighted the estimated cost of changing the policy. In comments shared on social media and in the CABP newsletter, he said: "The cost of fixing this injustice is, in the first year, just £38million out of a total pension budget of £156billion, and the UK is the only G7/OECD country to deny pension increases to its citizens living abroad! Time to act."
The Pensions Commission is examining whether the UK's retirement system can deliver adequate and sustainable outcomes in the future. Its final report and policy recommendations are expected in spring 2027.
How frozen State Pensions work
Under current rules, UK State Pension payments are only uprated annually for pensioners living in certain countries. People living in places including the USA and European Union (EU) countries receive annual increases, while State Pensions are frozen at the point of emigration for people living in several other destinations, including Canada, Australia, South Africa, Japan, Thailand and India.
This means someone's State Pension can remain at the same rate for years after they move permanently to a country where annual uprating does not apply. The impact has been highlighted by the case of Anne Puckridge, a 101-year-old Second World War veteran who moved to Canada in 2001 to be closer to her family. Her UK State Pension was frozen at £72.50 per week following the move and has not subsequently benefited from the annual uprating received by pensioners living in the UK and certain other countries.
Growing support in Canada and UK
The CABP newsletter also reports growing support for changing the policy in Canada. A three-day lobbying exercise in Canada's House of Commons secured support from another 67 MPs, bringing the number backing the campaign to 153 before Parliament adjourned for the summer recess last month. Canada's newly appointed High Commissioner to the UK, Bill Blair, has pledged to actively champion the campaign and strengthen relations between Canada House and representatives of other countries affected by frozen pensions. Several members of the Canadian Cabinet have also been briefed on the issue.
In the UK, the Trades Union Congress (TUC) and UNISON have agreed to once again promote the issue through communications with their members and raise it with relevant committees within their organisations. Campaigners are hoping the combination of international pressure and the submission to the Pensions Commission will increase pressure for the long-standing policy to be reconsidered.
