Millions will receive an extra £470 a year in State Pension as payments increase - full list of new rates
News Claire Schofield and Charlotte Fisher 11:41, 07 Apr 2025
The DWP has issued a State Pension triple lock statement as millions are set to receive an extra £470 a year. A number of different benefit rates increase today, Monday April 7, as the new tax year begins - including the State Pension.
Most means-tested benefits such as Universal Credit, Personal Independence Payment, the State Pension, and Employment and Support Allowance rise from the first Monday after the new tax year begins, so this year that date is Monday, April 7.
Every year State Pension payments rise by whichever is highest out of inflation, wages based on average growth between May and July, or 2.5%- known as the triple lock promise.
This year it will rise in line with average earnings growth, meaning people receiving both the basic and new State Pensions are being uprated by 4.1% in line with the annual increase in the average weekly earnings index for May to July 2024.
Other welfare benefit rates, including Universal Credit and Child Benefit, are going up this month by almost 2%. All other DWP payments apart from the State Pension increase every year in line with the rate of inflation from the previous September.
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In September 2024 the inflation rate was confirmed as being 1.7%, according to the consumer price index, meaning rates are going up this month for everyone who claims the benefits.
The UK’s State Pension system is split into two different schemes - basic and new - so the amount your pension payments will increase from today depends on when you retired, reports the Express.
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For those who get the new State Pension, the full weekly payment rate is increasing by 4.1% to £230.25 per week, up from the current rate of £221.20.
Over the course of a year this amounts to an extra £470 in your pension pot if you get the full rate. It means those who get the full new rate will receive £11,973 in pension payments across a full year from April 6, 2025 - £2,797.60 more per year than those who get the full basic State Pension.
Men born on or after April 6, 1951, and women born on or after April 6, 1953, are eligible to claim the new State Pension once you reach State Pension age, which is currently 66.
The government said: “To help make sure pensioners are protected in their retirement, we have also confirmed a 4.1% increase to the basic and new State Pension, as well as the standard minimum guarantee for Pension Credit, from April next year.
“Over 12 million pensioners will benefit as the full new State Pension will rise from £221.20 to £230.25 a week, providing an extra £470 a year. The full basic State Pension will increase from £169.50 to £176.45 per week, worth an extra £360 annually.”
Work and Pensions Secretary Liz Kendall said: "Our ironclad commitment to the Triple Lock gives pensioners across the country the certainty and security they need to live a full life in retirement.
"We are putting more money in people’s pockets and driving up household income as part of our Plan for Change."
Minister for Pensions Torsten Bell added: "Raising the State Pension and rescuing the NHS – these are this government’s priorities to give all pensioners the dignity they deserve in their retirement. Those who have worked hard throughout their lives, paying into the system, are owed nothing less.
"We’re improving the lives of millions of pensioners through our £7.84 billion additional funding for the State Pension this year. That means up to £470 extra in pensioners’ pockets from this week and comes alongside our work to boost Pension Credit uptake, and the £26 billion we’ve invested in the NHS that has seen waiting lists in England fall for 5 months in a row."
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Full list of State Pension increases
Men born on or after April 6, 1951, and women born on or after April 6, 1953 are able to claim the new state pension. People born before these dates are only entitled to the basic state pension payments.
- Full new state pension: £221.20 a week to £230.25 a week
- Full old basic state pension: £169.50 a week to £176.45 a week
To see a full list of benefits increasing from today, click here.
