DWP Bad News for State Pensioners: DWP Support is not going to rise who retired before 2016

by John
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DWP Bad News for State Pensioners DWP Support is not going to rise who retired before 2016

Many pensioners in the UK will see a rise in their State Pension from April 6, 2025, thanks to the triple lock system. But one small and lesser-known top-up payment—the 25p addition for people over 80 years old—will remain unchanged, just like it has been since it was first introduced 54 years ago.

Let’s look at what this payment is, why it’s not increasing, and who is eligible to receive it.

What Is the 25p Age Addition?

The 25p age addition is a small weekly payment given to pensioners who are 80 years old or older, but only if they retired before April 6, 2016. This payment is added to the basic State Pension, not the newer pension system introduced after 2016.

It was first started in 1971, when the average weekly pension was only £6. Back then, 25p was a 4% bonus for very elderly pensioners. It was meant to offer extra help for older people, as they usually needed more support.

Why Isn’t the 25p Addition Increasing in 2025?

While most pensions are increasing by 4.1% in April 2025, the 25p weekly top-up remains frozen.

The Department for Work and Pensions (DWP) explained that this amount has not been raised by any government since 1971. It is not included in the triple lock system, which means it is not adjusted for inflation, wages, or a minimum 2.5% rise like other pension amounts.

A DWP spokesperson said that raising the amount would mean it counts as taxable income, which could reduce a person’s other benefits. So, governments have chosen not to increase it and instead focus on increasing the main pension rates or offering support through other benefits.

How Much Is the 25p Age Addition Worth Today?

If the 25p payment had been updated with inflation since 1971, it would now be around £3.20 per week. But because it has never changed, it’s still only 25p per week today.

Even though it seems like a very small amount, the total cost to the government is around £41 million a year, because about 3 million pensioners aged 80+ receive it.

Raising it to match inflation would cost around £500 million annually, which is why it remains unchanged.

Who Gets This Payment?

You may qualify for the 25p age addition if:

  • You are 80 years old or older.
  • You started getting your State Pension before 6 April 2016.
  • You are receiving the basic State Pension, not the new State Pension.
  • Those who reached pension age after 2016 under the new State Pension system do not receive this 25p addition.

The 25p age addition for pensioners aged 80 and above is a small benefit that has remained frozen for over 50 years. While the main State Pension amounts continue to rise, this quarter-pound payment remains the same due to government policy and cost concerns.

Although it may seem outdated, this payment is still part of the UK’s pension system and highlights the importance of regularly reviewing support for older citizens. For those eligible, it remains a symbolic but unchanged benefit.

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FAQ’s

What is the 25p age addition in the UK pension system?

It’s a small payment of 25p per week given to pensioners who are over 80 years old and receive the basic State Pension (retired before April 6, 2016).

Will the 25p age addition increase in April 2025?

No, the payment remains frozen at 25p per week, as it has not been increased since it was introduced in 1971.

Who qualifies for the 25p age addition?

Only those aged 80 or above who started receiving their State Pension before April 6, 2016 are eligible.

Why has the government not increased the 25p payment?

The government says increasing it would make it taxable and affect other benefits. It also prefers to increase the main pension amount instead.

Is the 25p age addition part of the new State Pension?

No, it is not included in the new State Pension system introduced after April 6, 2016. Only older pensioners on the basic pension receive it.

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