State pension: DWP figures reveal most people not paid full new state pension – are you?

In order to claim the state pension, the eligible person will usually need at least 10 qualifying years on their National Insurance record, as well as being required to have reached their state pension age. How much a person gets paid is affected by the number of qualifying years they have. Currently, to get the full new state pension, a person is required to have 35 qualifying years on their National Insurance Record.

This means one must have worked and paid National Insurance contributions, received National Insurance credits, or paid voluntary National Insurance contributions.

The full new state pension is currently £168.60 per week.

There are two reasons the amount may be higher, and this is if one has over a certain amount of Additional State Pension, or they defer claiming the state pension.

According to new figures released by the Department for Work and Pensions (DWP) on Tuesday, the majority of people who claim this particular payment are not receiving the full new state pension.

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Of more than 1.1 million people getting the new state pension, figures show in March 2019, nearly 500,000 people receive the full new state pension.

This equates to only 44 percent of new state pension recipients.

Meanwhile, around 534,000 people get between at least three-quarters but less than the full amount.

A further 47,640 people get 50 percent to 75 percent of the full new state pension.


33,720 people get between a quarter and less than half of the full new state pension, while 10,800 get less than a quarter of the full new state pension.

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Stephen Lowe, group communications director at Just Group, said: “The pension ‘freedom and choice’ reforms were backed up by the promise that the new, higher state pension would be enough to provide a basic level of support if people did use up all their private pensions early.

“Putting aside the thorny question whether state pension alone can provide an adequate standard of living, the truth is that most people retiring since the reforms in 2016 do not even receive the full amount of State Pension.

“DWP figures show of the 1.1 million who receive new state pension, only 44 percent or nearly 500,000 people receive the full amount.

“About the same number receive at least three-quarters but less than the whole amount.

“That contrasts with those who retired under the old system where around 65 percent of people receive the full – albeit lower – amount of basic state pension, potentially topped up with benefits.

“It raises concerns that the level of the ‘safety net’ income provided by state pension may be lower than people think.

“We would urge everyone approaching retirement to get a state pension forecast and to take advantage of the free, independent and impartial Pension Wise guidance on offer to ensure they understand their likely retirement income before they start accessing pension money early.”

The state pension rises each year, under the triple lock.

Next year, it is set to rise by 3.9 percent.

The full rate of the new state pension is expected to increase by £6.60 per week from £168.60 to £175.20 per week.

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This would mean those getting the full new state pension would be £344 per year better off.



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