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UK State Pension - Is it really enough?

(36 Posts)
dogsmother Mon 13-Jul-26 10:14:19

Absolutely not enough and certainly should be as close to minimum wage as possible!

silverlining48 Mon 13-Jul-26 10:12:52

The problem is whenever the sp is mentioned by the media it’s always the new rate and not the old rate that so many of us are on, which is quoted.

Mollygo Mon 13-Jul-26 10:09:57

I’d love my SP to reach a 4 figure number per month. Annually, it’s way below this statement.
I believe current single person SP works out at approximately £12,500 annually.

Petrina Mon 13-Jul-26 10:06:56

Just as matter of interest, at the current rate of inflation how long would it take the triple lock to get pension to minimum wage? (By which time of course minimum wage would be much higher...)

Elusivebutterfly Mon 13-Jul-26 09:58:13

It would help if the tax allowance was raised. We start paying tax as soon as we are over the £12,500. I pay much more tax than when I first retired. If the allowance had not been frozen, it would be around £16,000. That would give us around £700 extra income.
Food and fuel now take up a much higher percentage of my income than they used to. Those of us on a low income are hit harder by big inflation on essentials.

Marg75 Mon 13-Jul-26 09:57:36

I do think putting the threshold up for paying tax would help considerably.

Cabbie21 Mon 13-Jul-26 09:57:20

Those who want to reduce the Welfare bill don’t seem to realise the huge amount of that which goes on Pensions.

silverlining48 Mon 13-Jul-26 09:53:41

Yes most pensioners would love to get the minimum wage because it’s twice as much as we are expected to live on.

Some people are still unaware there are two state pension rates, the old rate is £50or £60 lower per week if retired before 2016 than the new state pension paid if retirement was post 2016. It makes a huge difference.

I worked snd contributed for 45 years ( the new pension only requires 30 years ). Each time there is percentage increase the gap between the two pensions widens. What message does that send,
Our pensions in this country are snd always have been , much lower than the rest of Western Europe. Yet we are or were the 5 th wealthiest nation.

Cabbie21 Mon 13-Jul-26 09:50:31

Good point. I suppose one way to achieve minimum wage level could be by using a scheme (like Pension Credit) to bridge the gap for those on a lower income, rather than making it the norm for all. So those with a good occupational pension would not need to apply for the increase.

Whitewavemark2 Mon 13-Jul-26 09:32:11

Of course and many European countries do in fact do that.

Cossy Mon 13-Jul-26 09:27:31

I’ve been thinking about our UK state pension.

Forget the funding of it for a moment.

So currently UK minimum wage is £12.71 (I believe) which equates to approx £24,000 (before tax) annually.

I believe current single person SP works out at approximately £12,500 annually.

So, bearing in mind that I am assuming minimum wage is calculated based on what our government believes is the minimum amount of money the average person requires to live, isn’t setting the SP at the current rate just a tad insulting?

I understand that most pensioners might have repaid their mortgages but many have rent, but we still have many of the same costs as prior to retirement. Given that there are still some who don’t have massive private pensions yet don’t qualify to any other financial help.

Do we think the SP should actually be set to mirror minimum wage?

(Ignoring the fact that the country cannot afford this, nor according to some even maintain it at the current rate)