UK expats to continue receiving annual pension adjustments

UK state pensioners living in the European Economic Zone by 31 December 2020 will continue to have their pensions increased in line with pensioners living in the UK, it has been confirmed.
According to the Department for Work and Pensions (DWP), expats will continue to benefit from the “triple lock” mechanism, which ensures state pensions rise by either 2.5 per cent, the rate of inflation or average earnings, whichever is the highest.
According to the Government, the UK state pension is still available for expats even if they claim it on or after 01 January 2021, providing they meet UK state pension qualification conditions. The Government has recently published a raft of guidance on the rights of UK nationals in the EEA or Switzerland in regards to benefits, found here.
However, if a state pensioner is not covered by the Withdrawal Agreement and moves to live in an EEA state from 01 January 2021, the rules on entitlement to UK benefits in these countries will “depend on the outcome of negotiations with the EU” and “may change”. This includes:

  • receiving certain UK benefits in the EEA and Switzerland
  • counting future social security contributions in the EEA and Switzerland towards your UK State Pension and some other UK benefits
  • getting your UK State Pension uprated every year in the EEA and Switzerland

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