Overview
- DWP says the full New State Pension will move to £241.30 a week from 6 April 2026, with the older Basic State Pension rising to £184.90 a week.
- The phased State Pension age increase from 66 to 67 runs from April 2026 to March 2028, affecting people born in the early 1960s, and claims must be actively made rather than starting automatically.
- Analysts warn the higher payment is close to the £12,570 tax‑free threshold, and the OBR projects about 600,000 additional pensioners could be paying income tax by 2026–27, rising to 1 million by 2030–31.
- HMRC advises new retirees who become non‑taxpayers to call with their P45 so providers can refund overpaid tax through pension payments, with P800 or simple assessment letters typically issued June to March.
- Charities highlight low Pension Credit take‑up, with fewer than 70% of eligible pensioners claiming and potential top‑ups averaging around £4,300 a year, including support that can reach about £3,500 for singles or £5,500 for couples.