Brits ineligible for state pension to receive letter from government

More than 100,000 people are set to receive a letter from the government informing them that they are unlikely to receive the new flat-rate state pension.

Earlier in the year, the Work and Pensions select committee had called on the government to act urgently to let the large number of people who will not receive the full weekly payment of £155.65 a week know so they could prepare their finances for retirement.

According to its report, around 55 per cent of retirees will not receive the full £155.65 a week during the first year of the new flat rate pension.

In most cases, the committee said this was “because of periods of contracting out or because they do not have 35 years of qualifying National Insurance”.

Under the new rules, retirees must have made National Insurance contributions for 35 years to be eligible for the full rate, while those that have worked for less than 10 years will receive no pension at all.

“We have established that it is possible to identify individuals who are now within nine years of state pension age and whose National Insurance record suggests that they will not have 10 qualifying years of National Insurance contributions when they reach their state pension age,” the government said in response.

“Subject to normal testing, we propose writing to this group as a one off exercise, integrated into the overall awareness campaign.

“This will test whether direct mail is more effective for this group given we can identify them and we believe it is possible to formulate a clear message and call to action.

“We estimate that in the UK there are over 100,000 people within this group. We will evaluate this exercise to gauge its efficacy.”

Those who fail to meet the eligibility requirements set out by the government should plan ahead to make sure they are able to fund their retirement in the future.

Link: The New State Pension