DWP State Pension warning to ‘act now’ to avoid payment delays | Personal Finance | Finance
The state pension provides regular financial support to those eligible who have reached retirement age and at present, as many as 12.7 million people across the UK are receiving it.
However, those nearing retirement age (currently 66) may not realise the state pension isn’t automatically issued by the Department for Work and Pensions (DWP).
It must be claimed or new retirees could face delays in receiving their initial payment of up to £221.20 per week, or £884.80 every four weeks.
This is because some individuals choose to defer their claim to continue working and increase their pension savings, especially if they haven’t completed the full 35 years of National Insurance contributions.
The DWP states: “You do not get your state pension automatically – you have to claim it. You should get a letter no later than two months before you reach state pension age, telling you what to do.”
The guidance further explains that people have the option to either claim the state pension or delay (defer) claiming it. It notes: “If you want to defer, you do not have to do anything. Your pension will automatically be deferred until you claim it.”
How to claim the state pension
People can claim the state pension online, by post, or by phone.
Those applying online will need the invitation code from the letter about getting the state pension.
If an individual has not received an invitation letter but is within three months of reaching their state pension age, they can request an invitation code.
People looking to claim the benefit by phone must be within four months of reaching the state pension age.
They can reach the Pension Service by telephone on 0800 731 7898, textphone on 0800 731 7339, or Relay UK on 18001 then 0800 731 7898.
To claim by post, people will need to phone the Pension Service first to request a form.
People can claim the new state pension even if they carry on working. However, they can delay (defer) claiming it to increase the amount they get.
The state pension increases every week it is deferred provided the claimant defers for at least nine weeks.
The increase is equivalent to one percent for every nine weeks of deferral, amounting to just under 5.8 percent for every 52 weeks. The extra amount is then paid with the regular state pension payment.
State pension rates 2024/25
The full basic state pension is available to:
- Men born before April 6, 1951
- Women born before April 6, 1953.
The new state pension is available to:
- Men born on or after April 6, 1951
- Women born on or after April 6, 1953.
To receive any rate of state pension, people must have at least 10 qualifying years on their National Insurance record.
The number of qualifying years on this record is used to determine how much state pension a person will receive but usually, to get the full rate, a person should have around 35.
The payment rates for the 2024/25 fiscal year are:
