The DWP confirms the reason why National Pension payments have not increased since April

The State Pension paid to people over 80 who retired before 2016 will not increase from April.

The State Pension increases at the beginning of each new tax year, on 6 April, in accordance with three keys. The new rates are determined by whichever is higher from the consumer price index (CPI) of inflation (measured for September of the previous year), the average increase in wages between May and July of the previous year, or 2.5%. As the average salary growth rate was above these figures at 4.8%, the National Pension will increase by this amount from 6 April.

But one pension payment that will not rise from April is the anonymous 25p top-up which is only given to those aged 80 and over, who retired before 2016.

The 25p ‘addition at age 80’ payment for old National Pension pensioners has been added to the Department for Work and Pensions (DWP) benefits list for April 2026 onwards, but remains fixed at its current rate.

Much like the £10 Christmas bonus controversy, the 25p payment has not been adjusted for inflation since it was first introduced in 1971. At the time, the pension was £6 a week, so the 25p represented a 4% boost.

The 25p a week payment was introduced to recognize “the special needs of very old people who generally need more help than others”, and is still paid to some pensioners over the age of 80 today – at exactly the same rate as in 1971.

The DWP has confirmed it will not increase the 25-year surcharge from April, for the 55th year in a row, and has instead chosen to add more support for pensioners.

Explaining the reason for keeping the 25p frozen, the DWP said that any increase would be paid as State Pension and, therefore, would be treated as taxable income, and this could affect some of the support pensioners they may receive as a result.

A DWP spokesperson told The Express: “Supporting pensioners is a priority and our commitment to the Triple Lock means millions of older people will see their State Pension rise by up to £2,100.

“Thanks to our biggest ever Pension Credit campaign, we’ve seen an extra 33,500 Pension Credit awards by 2025, worth £86 a week, for those who need extra support.”

The DWP added: “Successive Governments have decided not to increase the 25p a week Superannuation payment since its inception, choosing instead to increase the generosity of other areas of support for pensioners.

Any increase can be paid as State Pension and is treated as taxable income which can have an impact on the amount of support people receive through other benefits.”

The new State Pension, available to those who reached State Pension age after 2016, does not include the 25p age increase, but those who retired before the pension reform are still eligible to receive a quarter of a pound.

A Research Briefing issued by Parliament in 2013 explains: “The increase has not been increased. It was specifically excluded from the statutory index linking provisions of the Social Security Act 1975 (now replaced by section 150 of the Social Security Contributions and Benefits Act 1992) The Labor Government has floated the idea of ​​their old age 19, ‘A Holdings of the Come on,’

“In May 2012, there were around 3.2 million pensioners aged 80 and over. This would bring the annual cost of the 25-year supplement to around £41 million. If the 25 pence annual increase had been added by the Retail Prices Index (RPI) since it began in 1971, then it would be £3.20 per year.

“Governments of both parties have rejected proposals that the age increase should be increased,​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​front.