Basic State Pension explained
The Basic State Pension was replaced by the new State Pension in April 2016.
Key facts
- It must be claimed; it isn't paid automatically.
- An individual needed to have paid National Insurance contributions for at least 30 years to get a full Basic State Pension. The number or qualifying years required varies depending on year of birth and is different for men and women.
- An individual receives a proportionately smaller amount if they don’t have the full number of qualifying years.
- An individual could be credited with qualifying years in certain circumstances.
- The Basic State Pension usually increases each year by the highest of the growth in average earnings, CPI and 2.5%.
Disclaimer
The information provided is based on our current understanding of the relevant legislation and regulations and may be subject to alteration as a result of changes in legislation or practice. Also it may not reflect the options available under a specific product which may not be as wide as legislations and regulations allow.
All references to taxation are based on our understanding of current taxation law and practice and may be affected by future changes in legislation and the individual circumstances of the investor.