Frozen pensions fear


CAMPAIGNERS have raised the fear that the British government could freeze state pensions for expats when the UK pulls out of the European Union.
Nigel Nelson, chairman of the International Consortium of British Pensioners (ICBP), told Costa Blanca News: “Although we cannot predict what terms the UK government might negotiate when it comes to UK state pensions currently being paid in Europe, it is possible that British pensioners living in the EU may no longer receive the annual increase to their state pension as the UK government will no longer be legally obliged to pay it once the UK is no longer a member of the EU.”

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  1. This is again, I fear, misinformation as it stands. Frozen pensions (based upon the rate on the date one becomes a resident in another country) are arranged under a bi-lateral treaty with mostly Commonwealth countries, and were generally set up when these countries encouraged immigration. What has been not mentioned is these Commonwealth countries then take on the responsibility to ‘top up’ the UK pension to an amount that is enjoyed by that specific country’s pensioners. In most cases, the final amount exceeds the UK alone pension, had that person remained in the UK.

    At the moment, and as it was pre-EU, no such bi-lateral agreements existed covering pensions with EU member countries. Hence this topic should be dismissed until anything, if ever, changes. Its a shame only the scare-mongering part of the story has been told, and not the complete picture.


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