State pension UK: Would state pension RISE after Brexit?

STATE pension-claimers who are living outside of the UK may be very interested to hear about what the latest news is on the plans for expats’ state pension in a post-Brexit world, should it happen.

Whether it’s money that retirees rely on, or a welcomed extra pot of money, the state pension is very important for many people. As per its name, the state pension can be claimed from the government by members of the public - provided they’re eligible, such as having reached state pension age. 

With the UK’s impending departure from the European Union, many have been left wondering about what will happen to a number of government funds. And now, the government has been quizzed on how pensioners who are enjoying their retirement overseas could be affected.

Eligible British expats can currently request their state pension from the government, despite not being based in the UK.

And, as it stands, the state pension amount increases each year.

This annual uprating is worked out by the higher of either wage growth, inflation, or 2.5 per cent.

So, in a post-Brexit world, will this yearly increase still apply for UK citizens who are living overseas?

It seems Lord Jones of Cheltenham wanted to know the answer, having asked the government whether those choosing to retire in Italy would scoop the increase, should there be a no deal Brexit.

And, Baroness Buscombe, the undersecretary of state with the department for work and pensions, confirmed that the aim is for Britons across the world to still be able to claim their state pension after Brexit.

She then said that the UK state pension would be uprated for those living in the EU between EU in 2019 and 2020.

As reported by the Financial Times, the 64-year-old said: “As the government set out in its policy paper ‘Citizens’ Rights — EU citizens in the UK and UK nationals in the EU’ we want to secure continued reciprocal arrangements covering the uprating of State Pensions in the EU even in the event of a ‘no deal’ exit.

“We will uprate the UK state pension for those living in the EU in 2019-20.”

The expected rise in the state pension amount come April 6, 2019, has been revealed.

Following this date, the full new state pension will see a boost of £4.25 per week.

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