New calls to increase weekly State Pension payments to £586 for every person aged over 60

Daily Record

11 hours ago

An online petition proposes a new 'universal' State Pension linked to the National Living Wage.
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A new online petition is calling on the UK Government to increase weekly State Pension payments to £586 for every person over the age of 60, including Brits living abroad in retirement. Petition creator Denver Johnson, proposes increasing payments to equal 48 hours each week at the National Living Wage rate of £12.21 per hour.
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The petition proposals would provide 13 million people currently on the State Pension - and those over 60 - with £2,344 every four-week payment period, some £30,476 each year. This uplift would also be applied to some 453,000 retirees whose State Pension has been frozen at the point of emigration because the country they now live in does not have a reciprocal agreement with the UK Government.
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The 'Give State Pension to all at 60 and increase it to equal 48 hours at Living Wage' petition has been posted on the petitions-parliament website and states: 'We want the Government to make the State Pension available from the age of 60 and increase this to equal 48 hours a week at the National Living Wage.'
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The petition continued: 'Hence from April 2025 a universal State Pension should be £586.08 per week or about £30,476.16 per year as a right to all including expatriates, age 60 and above.
'We think that Government policy seems intent on the State Pension being a benefit not paid to all, while ever increasing the age of entitlement. We want reforms to the State Pension, so that it is available to all including expatriates, from age 60, and linked to the National Living Wage, for security.'
At 10,000 signatures, the petition would be entitled to a written response from the UK Government. At 100,000 it would be considered by the Petitions Committee for debate in Parliament - read it in full here.
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Annual State Pension uprating
Under the Triple Lock measure, State Pensions increase each year in-line with whichever is the highest of average annual earnings growth from May to July, Consumer Price Index (CPI) inflation in the year to September or 2.5 per cent.
The New and Basic State Pension increased by 4.7 per cent in April, which means someone on the full New State Pension currently receives £230.25 per week, or £921 every four-week pay period.
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Those on the full Basic State Pension receive £176.45 each week, or £705.80 every four-week pay period.
State Pension uprating predictions for 2026/27
The Triple Lock is currently on track to be determined by the earnings growth element which is currently at 5.2 per cent (excluding bonuses). However, this figure may go up or down and isn't the final metric that will determine the level of uprating.
The CPI figure for June was 3.6 per cent with the July figure due to be published by the Office for National Statistics (ONS) on August 20.
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That being said, a 5.2 per cent increase on the current State Pension would see people receive the following amounts.
Full New State Pension
Weekly: £242.90
Four-weekly pay period: £971.60
Annual amount: £12,630.80
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Full Basic State Pension
Weekly: £186.25
Four-weekly pay period: £744.60
Annual amount: £9,679.80
The annual uprating won't be confirmed until the Autumn Budget, but pensioners - and those due to retire next year - can start to plan their finances by following the Triple Lock measurements. The September CPI figure will be published in mid-October, but the wages growth figure is usually published in August.
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State Pension and tax
The Labour Government confirmed earlier this year that the Personal Allowance will remain frozen at £12,570 until April 2028.
If the New and Basic State Pension increased by the lower measure of the Triple Lock (2.5%), it would see the full New State Pension exceed the income tax threshold by nearly £79 in the 2027/28 financial year (£12,578.80).
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While the amount of State Pension to be taxed may seem relatively small - tax is only paid on the amount over the Personal Allowance - older people with other income streams could find themselves having to part with more cash to pay a tax bill - if it's not automatically deducted from private or workplace pensions through PAYE.
And remember, that figure is based on the lower measure of the Triple Lock. Using the current projections, more pensioners could be dragged into the retirement tax net sooner, especially if they have additional income through a private or workplace pension.
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What is taxed
Guidance on GOV.UK states: 'You pay tax if your total annual income adds up to more than your Personal Allowance. Find out about your Personal Allowance and Income Tax rates.
Your total income could include:
the State Pension you get - Basic or New State Pension
Additional State Pension
a private pension (workplace or personal) - you can take some of this tax-free
earnings from employment or self-employment
any taxable benefits you get
any other income, such as money from investments, property or savings
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Check if you have to pay tax on your pension
Before you can check, you will need to know:
if you have a State Pension or a private pension
how much State Pension and private pension income you will get this tax year (April 6 to April 5)
the amount of any other taxable income you'll get this tax year (for example, from employment or state benefits)
You cannot use this tool if you get:
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any foreign income
Marriage Allowance
Blind Person's Allowance
Use this online tool at GOV.UK to check if you have to pay tax on your pension.
The full guide to tax when you get a pension can be found on GOV.UK here.