State Pensioners to Receive Up to £574 Increase in April 2026
The Department for Work and Pensions (DWP) has confirmed the weekly payment rates for the New and Basic State Pensions from April 2026, with an increase of up to £574 for pensioners this year. This increase is a result of the Triple Lock, which ensures pension payments rise each year based on the highest of three factors: average annual earnings growth, CPI inflation rate, or 2.5%.
The New State Pension will increase to £241.30 per week, while the Basic State Pension will rise to £184.90 per week. These changes will come into effect on April 6, 2026, and will significantly impact the lives of millions of older people.
However, it's important to note that the amount of State Pension received depends on National Insurance contributions. To receive the full New State Pension, individuals need around 35 years of contributions, but this may vary for those who were 'contracted out'.
Despite the increase, there are concerns about the tax implications for pensioners. The Personal Allowance income threshold is £12,570, and the uprating leaves just £36 before this threshold is exceeded, potentially leading to tax payments for pensioners with additional income.
To address this issue, Chancellor Rachel Reeves has announced new measures to ensure that pensioners whose sole income is the State Pension will not pay tax before April 2030. This decision follows the Autumn Budget, where Reeves extended the Personal Allowance freeze to £12,570 until April 2031, providing a temporary reprieve for pensioners.
The new State Pension payment rates for 2026/2027 are as follows:
- Full New State Pension: £241.30 per week, £965.20 for a four-weekly pay period, and £12,547 annually.
- Full Basic State Pension: £184.90 per week, £739.60 for a four-weekly pay period, and £9,614 annually.
Other State Pension rates include Category B (lower) Basic State Pension for spouses or civil partners' insurance at £110.75, and Category C or D at £110.75 for non-contributory pensions.
For more detailed information on Additional State Pension, Widows Pension, increments, and Invalidity Allowance, visit the GOV.UK website.
Additionally, the DWP has introduced new Pension Credit rates, including the Standard Minimum Guarantee and Additional Amounts for severe disability and carers.
