UK State Pension to continue being uprated for recipients living in EU

The British government has announced it will continue to uprate the UK State Pension paid to expats living in the EU each year for the next three years.

However, there has as yet been no confirmation what will happen to State Pensions after this period, and there is a slight risk that they could be frozen if no deal can be reached.

The UK basic and new State Pension is currently uprated annually by either 2.5 per cent, average wage growth or by prices growth as measured by the Consumer Price Index – whichever is highest.

The UK State Pension has already been uprated in the EU for the year April 2019 to March 2020. The government has now committed to uprating the UK State Pension paid to the roughly half-a-million Brits living in the EU each year until March 2023, even in the event that the UK leaves the EU without a deal.

Some of those living abroad will soon receive text messages to inform them of the commitment.

A new dedicated call centre team has also been established in order to answers any questions from those affected.

“This government is working hard to prepare for leaving the EU on 31st October, whatever the circumstances,” said Work and Pensions Secretary of State Amber Rudd. “This guarantee will provide reassurance to the hundreds of thousands of people living in the EU who receive a UK State Pension that their pensions will continue to rise significantly each year, however we leave.”

During this three-year period the UK government plans to negotiate a new arrangement with the EU to ensure that uprating continues.

Article published 6th September 2019