An estimated 453,000 UK pensioners living abroad will not receive the planned 2026/27 State Pension increase, despite having made the required National Insurance contributions during their working lives. The current policy, which links payment uprating to international agreements, applies differently depending on the country of residence.
According to reporting by the Daily Record, the forthcoming adjustment is expected to be based on average earnings growth. Affected individuals reside mainly in Commonwealth countries where pension uprating arrangements are not in place. While millions of pensioners will see a rise next year, a significant group remains excluded under existing rules.
Triple Lock Mechanism Points to 4.7% Increase
UK State Pensions are protected by the Triple Lock policy, which raises payments annually based on whichever is highest among earnings growth (measured from May to July), the Consumer Price Index (CPI) in September, or a guaranteed minimum of 2.5%.
According to the Office for National Statistics, the most recent earnings growth figure is 4.7%, including bonuses. Meanwhile, the CPI inflation rate stands at 3.8%, and the critical CPI reading for September—used in the triple lock calculation—will be published on October 22.
Unless the September CPI overtakes earnings growth, the uprating for April 2026 is expected to be determined by the earnings component. The current payment rates, before this projected increase, are £230.25 per week (or £921 every four weeks) for the New State Pension, and £176.45 per week (or £705.80 every four weeks) for the Basic State Pension. These values already reflect a 4.7% increase applied in April 2024, in line with last year’s earnings performance.
If another 4.7% increase is confirmed, the New State Pension would rise to £241.05 per week, or £964.20 every four weeks. Similarly, the Basic State Pension would increase to £184.75 per week, or £739 every four weeks. The final confirmation will come from Chancellor Rachel Reeves during the Autumn Budget on November 26.
Overseas Pensioners in Commonwealth Countries Excluded
Despite the uplift, nearly half a million British pensioners living abroad will see no change in their State Pension amount. These individuals reside in countries that do not have reciprocal social security agreements with the UK. Most of them are located in Commonwealth nations such as Canada, Australia, New Zealand, and South Africa.
In these jurisdictions, pensions are frozen at the rate paid on the date of emigration, with no future increases, regardless of inflation or uprating policies. In contrast, pensioners living in the European Union, the United States, or other countries with agreements in place continue to receive the same annual increases as residents of the UK.
The impact is significant. According to data from the End Frozen Pensions campaign, nearly half of all affected retirees receive £65 or less per week, with some receiving as little as £20 per week. Additionally, an estimated 86 percent of all expats subject to the freeze were not informed that their State Pension would be frozen at the time of emigration. The situation affects a particularly large number of retirees in Canada, where more than 100,000 pensioners are currently impacted.
Campaigners Call for Urgent Reform
The End Frozen Pensions campaign continues to call for reform of this long-standing policy. Its actions include a widely supported online petition signed by thousands of people, as well as a visit to Parliament by Anne Puckridge, a 100-year-old veteran of the Second World War, who advocated on behalf of those receiving frozen pensions.
Campaigners argue that the policy penalizes those who have fulfilled all requirements to receive the full State Pension, having paid into the UK system for decades. Many of the affected pensioners are veterans, former NHS workers, or civil servants, who contributed fully during their working lives and simply chose to retire abroad. The campaign had expressed hope that diplomatic engagement might improve under Mark Carney, the former Governor of the Bank of England, who became Prime Minister of Canada earlier this year. So far, however, no formal negotiations have been initiated.
Summary of Projected State Pension Uprating for 2026/27
Should the 4.7% earnings figure form the basis of the 2026/27 uprating, the New State Pension would increase from £230.25 to £241.05 per week, or from £921 to £964.20 every four weeks, bringing the annual total to £12,534. The Basic State Pension would rise from £176.45 to £184.75 per week, or from £705.80 to £739 every four weeks, totaling £9,617 per year.
These increases will apply automatically to pensioners residing in the UK, the EU, the US, and other countries that maintain reciprocal social security arrangements with the UK. By contrast, the 453,000 retirees living in excluded countries will continue to receive payments frozen at historical levels, in many cases unchanged for decades.
