£7,561 Financial Boost to State pensioners born before 1953 from April 2025: State pensioners in the UK will receive a 4.1% increase in their payments from April 2025, thanks to the Triple Lock system. This system ensures that state pensions rise annually by whichever is highest:
- Inflation
- Wage growth (this year’s figure: 4.1%)
- A flat 2.5% increase
While this increase is good news, older pensioners on the old state pension (pre-2016) are still missing out on as much as £7,561 per year compared to those on the new state pension.
This guide explains how much your pension will rise, why some retirees receive more than others, and how those on the old state pension can boost their income.
How Much Will the State Pension Increase?
The state pension system is split into two:
- Old State Pension – For those who retired before April 6, 2016
- New State Pension – For those who retired on or after April 6, 2016
Old State Pension (Before April 2016)
- Current Weekly Payment: £169.50
- New Weekly Payment (from April 2025): £176.45
- Yearly Total: £9,175.40
New State Pension (After April 2016)
- Current Weekly Payment: £221.20
- New Weekly Payment (from April 2025): £230.25
- Yearly Total: £11,973
Difference: Those on the new state pension will receive £7,561.75 more per year than those on the old state pension.
Why Is There a Pension Gap?
The new state pension was introduced in 2016 to simplify the system. However, those who retired before April 6, 2016 remain on the old state pension, which has lower payments.
To qualify for full state pension payments, you need 30 to 35 years of National Insurance (NI) contributions.
How to Increase Your Pension Payments
If you are stuck on the old state pension, there are ways to boost your income.
1. Claim Pension Credit
- Pension Credit is a benefit for those with low retirement incomes.
- It tops up your pension if you earn less than £218 per week.
- From April 2025, Pension Credit will increase to:
- £227.10 per week for a single person
- £346.60 per week for a couple
- This means Pension Credit almost closes the gap between the old and new state pension.
How Much Extra Could You Get?
If you qualify for Pension Credit, your total yearly pension could increase to £11,809.20, just £163.80 less than someone on the full new state pension.
2. Check Your National Insurance Record
- If you haven’t reached retirement age yet, you can check and top up missing NI contributions.
- Log into the HMRC website to see your NI record.
3. Apply for Other Benefits
- Housing Benefit
- Council Tax Reduction
- Winter Fuel Payment
- Free NHS Prescriptions
Many pensioners miss out on these benefits because they don’t realise they qualify.
How to Apply for Pension Credit
Applying for Pension Credit is simple:
Call the Pension Service Helpline: 0800 99 1234
Apply online: Visit the UK government website
The 4.1% pension increase from April 2025 is welcome, but older retirees on the old state pension still receive thousands less per year than those on the new state pension.
However, Pension Credit can help bridge the gap. If you’re earning less than £218 per week, check your eligibility and apply to boost your retirement income.
If you need further guidance, contact HMRC or visit the official UK government website.
To apply for Pension Credit, call the Pension Service Helpline on 0800 991234.
FAQ’s
How much is the state pension increasing in April 2025?
The state pension will rise by 4.1% in April 2025. The full new state pension will increase from £221.20 to £230.25 per week.
Why do older retirees receive less state pension?
Retirees who reached pension age before April 6, 2016, receive the old state pension, which pays less than the new state pension.
What is the difference between the old and new state pension?
The new state pension pays £11,973 per year, while the old state pension pays £9,175.40, creating a gap of £7,561.75.
How can I increase my state pension if I am on the old system?
You can boost your income by claiming Pension Credit, which increases payments to £227.10 per week for a single person from April 2025.
How do I apply for Pension Credit?
You can apply for Pension Credit by calling 0800 99 1234 or applying online through the UK government website.
