Nearly half a million British retirees living overseas continue to receive frozen state pensions, with the Department for Work and Pensions (DWP) indicating no imminent policy change. Pensions Minister Torsten Bell confirmed the government's longstanding position in a written response to a parliamentary question, emphasising that the policy has been supported by successive administrations.
What Are Frozen Pensions?
Under the triple lock guarantee, the UK state pension increases annually to keep pace with inflation. However, pensioners who move to certain countries without a reciprocal social security agreement with the UK do not receive these upratings. This affects British expats in nations including Canada, New Zealand, Thailand, and South Africa. Some individuals have been receiving the same weekly amount for decades, with the real value eroded by rising living costs.
Minister's Statement
Responding to a question from Labour MP Sarah Owen, Minister Torsten Bell wrote: "The UK's policy on the up-rating of the UK State Pension for recipients living overseas is a longstanding one. The UK State Pension is payable worldwide without regard to nationality and is uprated abroad where we have a legal requirement to do so." He added that priority is given to those living in the UK when allocating additional pensioner benefits.
Campaign group End Frozen Pensions estimates that over 480,000 British pensioners are affected, including more than 60,000 veterans and many former civil servants. The group claims that 86% of those impacted were not informed their pension would be frozen before relocating.
Financial Impact
In extreme cases, some pensioners receive as little as £20 per week, compared to the full new state pension of £241.30. The campaign argues the policy is a political choice that could be reversed through domestic legislation. A full list of countries with uprating agreements is available on the Gov.uk website.
