Pension Freezing
With the compliments of British Age Pensioner Alliance

Almost half of Expatriate UK Pensioners never have annual increases to their pensions

Also see Pension Statistics
State Pension Rates explained
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Britain's State Pension Scheme is contributory, and has been so since 1925.

At first the pension was only paid to people living in the UK, but in 1929 this was extended to people living in "Empire" countries.

The old pension scheme only covered people in low paid occupations, but it was made universal in 1948, with the introduction of the National Insurance Scheme. From that time on, the same rules applied to everybody:

except for those who lived overseas

The first breach in universal cover happened in 1946, when the pension rate of 10/- was increased to 1:6/-, but not for people who did not live in Britain. Some feeble excuse was invented.

Payment of state pensions was slowly extended, at first to a handful of countries in Europe, but in 1955 they were paid anywhere in the world.

The rates of pension are indexed. For a few years indexation only happened every 2 or 3 years, but for a long time now it has been an annual event

except for some of those who live overseas.

Under European rules, indexation is granted to all UK pensioners living in European countries. And under treaties with other countries, indexation is granted to pensioners living in these countries. But for most pensioners living in "Empire" countries the pension is not indexed.

British State Retirement Pension Rates

* If you had retired, at 65, in a frozen country in 1991, with a full 40 years of contributions, you would have received a pension of 52.00.

* If you were still in that country in 2012,  you would  still be on the same pension.

* If you had retired to a non-frozen country, such as Barbados, at the same age and in the same year your pension in 2012 would be 107.45.

More than double but based on the same number of contributions to National Insurance.

* If you had retired to a country in the European economic Area, you would also get a Winter Fuel Allowance - even in French territories  in the sub-tropical West Indies!


Weekly single rates over the past 50 years

Retirement Year Full rate
Prior to 1948 0.50
1948 1.30
1958 2.50
1965 4.00
Apr - '75 11.60
Nov - '75 13.30
1976 15.30
1977 17.50
1978 19.50
1979 23.30
1980 27.15
1981 29.60
1982 32.85
1983 34.05
1984 35.80
1985 38.30
1986 38.70
1987 39.50
1988 41.15
1989 43.63
1990 46.90
1991 52.00
1992 54.15
1993 56.10
1994 57.60
1995  58.85
1996  61.15
1997  62.45
1998  64.70
1999  66.75
2000  67.50
2001  72.50
2002  75.50
2003  77.45
2004  79.60
2005  82.50
2006  84.25
2007  87.30
2008  90.70
2009  95.25
2010  97.65
2011 102.15
2012 107.45

The Lucky Ones

Hundreds of thousands of expatriate UK Pensioners are lucky enough to still receive their full pensions, despite living overseas

As in the case of Europe the United States of America differs from all the Commonwealth countries. America's power ensures that if any British pensioners should choose to live there in their retirement they will receive their pension dues from Britain in FULL.

Take a British pensioner living on the American side of the Niagara Falls, who reached retirement age, and retired to America, in 1991 with a complete record of mandatory contributions to the National Insurance Funds. In 2012 he or she would receive the full British pension of 107.45.

However should another British pensioner, with exactly the same pension history, have retired to live on the Canadian side of the Niagara Falls, at the same time, he or she will still be receiving the 1990 pension of 52.00. Less than half the pension for which they made contributions.