Govt has no plans to uprate ‘age addition amount’

The government has no plans to uprate the ‘age additional amount’ of 25 pence per week paid out to state pension recipients over the age of 80, Pensions Minister Guy Opperman has said.

In an answer to a written question, Opperman said that the figure had not increased since it was introduced in 1971 as it is a “separate issue” from uprating the state pension in line with triple lock guarantee.

This is despite the weekly value of the state pension increasing from £6 to £129.20 since 1971.

The state pension is due to increase by 2.6 per cent in 2019/20, which the government estimates will cost £2.5bn and increase the basic state pension by £3.25 per week.

Opperman said that the government is “committed” to ensuring economic security for people in later life and highlighted that it estimated its 2019/20 pensioner benefit spending at £120bn.

He continued: “The 25 pence age addition to contributory and non-contributory retirement pensions is paid with the state pension when individuals reach age 80. It is a separate issue from the uprating process.

“Although there are no plans to uprate the age addition amount, this should be considered alongside the range of other measures and benefits, including Pension Credit, that are available to pensioners, over age 80.”

Opperman also highlighted the other extra benefits to those over the age of 80, including higher winter fuel allowances and the availability of the category D state pension.

A House of Commons briefing paper said that the age additional amount has never been uprated as “successive governments either argue that greater priority should be given to protecting the level of the basic benefits, or choosing to target additional resources at older pensioners by other means”.

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