Changes to the State Pension from 6 April 2023 :Cross Stitch – Pensions and retirement planning
The State Pension changed from 6 April 2010. More people now qualify for a full basic State Pension. Find out about the most important changes and what they mean for you.
On 6 April 2010, the way you qualify for a State Pension changed:
- to get a full basic State Pension, you only need 30 qualifying years of National Insurance contributions (in the past, men normally needed 44 years and women 39 years)
- a single qualifying year will entitle you to at least some basic State Pension
- it is easier for parents and carers to get qualifying years towards a State Pension
If you’re over 55, or if you care for someone, you should find out how the changes may affect you.
The State Pension age for both men and women will rise in the future. From December 2018 the State Pension age for both men and women will start to increase to reach 66 by October 2020. This will mean women’s State Pension age will increase more quickly to 65 between April 2016 and November 2018.
To find out more see ‘Calculating your State Pension age’.
What this means to you depends on your circumstances. Some of the most important examples are on this page.
Previously, some married women could get an increased basic State Pension based on their husband’s National Insurance contributions record. From May 2010, this gradually started to apply to married men and civil partners as well.
You may be able to claim an increase even if your spouse or civil partner has not claimed his/her own basic State Pension. This is provided you have both reached State Pension age.
It’s no longer possible to get a new increase of your State Pension for another adult – an ‘Adult Dependency Increase’. This was an increase in your State Pension for a wife, husband or someone who was:
- looking after your children
- considered to be financially dependent on you
If you already received this increase on 5 April 2010, you will be able to keep it until 5 April 2020. Or when you no longer meet the conditions for the increase, whichever is first.
The changes also affect the payment of State Pensions. If you reach State Pension age on or after 6 April 2023 you’ll be paid in arrears on a day linked to your NI number. This means you will be paid at the end of your pay week, not from the start. Your payday is the day you normally receive your payment (sometimes called your ‘pay week-ending day’).
National Insurance number
Your National Insurance number (NINO) is the number you get when you first start work or claim a benefit. It is normally shown on the letters The Pension Service sends you.
The Pension Service uses the last two numbers of your NINO to work out your new pay week-ending day. This is shown in the following table.
| 00 to 19 | Monday |
| 20 to 39 | Tuesday |
| 40 to 59 | Wednesday |
| 60 to 79 | Thursday |
| 80 to 99 | Friday |
For example, if your National Insurance number is QQ 12 34 56 A, your pay week-ending day will be Wednesday.
If this applies to you, changes to the State Pension will not affect you very much.
The rate of basic State Pension is increased from April each year by at least the level of growth in average earnings. The current Government’s policy is that the basic State Pension will increase each year by the highest of:
- growth in average earnings
- growth in prices
- 2.5 per cent
This does not apply to the additions to State Pension. Additional parts of the State Pension normally rise in line with the increase in prices.
So in 2012-13 basic State Pension and additional State Pension will rise in line with the Consumer Prices Index.
If you are over State Pension age and have put off claiming your State Pension
If you are already over State Pension age and have put off claiming your State Pension, you can still get an estimate of your entitlement. This will be based on the date you intend to claim in the future.
You can either:
If you’re a pensioner living in Great Britain you may be entitled to Pension Credit. It guarantees people a minimum level of income. It also rewards those aged 65 or over who have made modest savings for their retirement.
The age from which you may get Pension Credit is changing. To find out more about Pension Credit see ‘Pension Credit – an introduction’.