The State Pension

The new State Pension

Since 6 April 2016, the new State Pension came into effect. It is a single-tier system that is based on how many years’ of National Insurance contributions (NICs) you have paid over your working life:

  • If you have 35 years’ or more of NICs, you will receive the full amount of State Pension, you can see the current amount here
  • If you have less than 35 but more than 10 years’ of NICs, you will receive a State Pension that is proportionate the NICs you have paid
  • If you have less than 10 years’ of NICs you will not qualify for a State Pension

If you reached your State Pension Age before 6 April 2016, you will receive the old State Pension (see below). Read more about the new State Pension

The old State Pension

  • If you reached your State Pension Age before 6 April 2016, your State Pension will be based on the old, two-tier system, which was made up of the following parts: The basic State pension, which was flat rate
  • Earnings related State Pension

The earnings-related State Pension was known as State Earnings Related Pension Scheme SERPS) or State Second Pension (S2P). Some members of the Scheme were contracted out of these State Pensions and paid lower NICs, and a portion of their State Pension is paid by their pension scheme instead. If this applies to you, a portion of your pension is known as a Guaranteed Minimum Pension, and is the equivalent State Pension payable to you by the Scheme. Read more about the State Pension

State Pension Age

Your normal pension age from the Scheme is the same as your State Pension Age if you joined the Scheme after 1st April 2018. There have been some recent changes around the State Pension Age, so yours may have changed. You can find out what your State Pension Age is here