Issued on behalf of British Age Pensioner Alliance, these Fact Sheets support the 20 year story of the fight for PARITY by 540,500 UK State Pensioners.  Why should they be deprived of annual indexation of their pensions because they live in certain countries while another 565,000,living in other countries, are not ?


Giving to the system

Fact: The Opposition has stressed the need for people to give to the system rather than take from it. They have mentioned the need for people to work and pay for their retirement rather than live on benefits. This means that someone who has worked all their life and made National Insurance Contributions has paid in full for an uprated pension. For example a person who contributes can look forward to an uprated state pension in the UK, USA or Israel.

Unfortunately had they gone to live in Australia, Canada or Pakistan, for example, they would not receive annual uprating but have their pension frozen for life.

It does not make sense and is unfair to uprate pensions for half the pensioners abroad but not for the other half when all have paid their contributions. The additional annual cost is only about 0.7% of the existing state pension expenditure or around 1% of the balance of contributions remaining in the National Insurance Fund.

Please note that this only applies in proportion to the number of years in which contributions have been made. Only full contributions earn a full pension.

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