The Department for Work and Pensions (DWP) has confirmed two important changes to the State Pension payment schedule for May 2025. These changes are expected to benefit millions of pensioners across the United Kingdom.
Due to the timing of the early May bank holiday and spring bank holiday, many pensioners will receive their payments earlier than usual, ensuring that no one is left without their pension due to banking disruptions.
According to BirminghamMail, these adjustments reflect the DWP’s commitment to providing pensioners with reliable and timely payments, allowing them to manage their finances more effectively despite holiday periods.
Early Payment Dates Due to Bank Holidays
Pensioners who are expecting to receive their State Pension on Monday, May 5, 2025, will now receive their payment earlier, on Friday, May 2, 2025. This early disbursement aligns with the early May bank holiday, which typically closes banking services on the first Monday of May.
Similarly, pensioners who are due a payment on Monday, May 26, 2025, will also receive their pension in advance. Instead of waiting for the usual Monday payment, they will be paid on Friday, May 23, 2025, to ensure they have access to their funds before the spring bank holiday.
Updated State Pension Rates for 2025-26
The new State Pension for the 2025–26 tax year is set at £230.25 per week, which amounts to approximately £921 per month or £11,973 annually. This increase is in line with annual adjustments made to ensure that the pension keeps pace with inflation and national income.
For those who reached State Pension age on or after 6 April 2016, the new pension rate applies. To qualify for the new pension, individuals must have made at least 10 years of National Insurance contributions.
To receive the full pension, a person must have 35 qualifying years of contributions or credits. These contributions ensure that pensioners are entitled to the maximum payment.
Basic State Pension for Earlier Retirees
For those who reached State Pension age before 6 April 2016, the basic State Pension system still applies. In the 2025–26 tax year, the full basic State Pension is valued at £176.45 per week, which equates to £9,175.40 annually.
In addition to the basic State Pension, individuals may also be entitled to an Additional State Pension. This is sometimes referred to as SERPS (State Earnings-Related Pension Scheme) or the State Second Pension, depending on the time period during which the individual worked. These additional payments can significantly increase the total pension income.
Changes to the State Pension Age
Currently, individuals can claim their State Pension when they reach the age of 66. However, under current government plans, the State Pension age will gradually rise to 67 between 2026 and 2028. This change will affect those born between April 1960 and April 1977.
For individuals born after April 1977, the government has not yet set a fixed State Pension age, but it is expected to continue rising in line with life expectancy trends.
Eligibility for State Pension and Further Considerations
The State Pension eligibility depends on an individual’s National Insurance contributions. People who have made contributions for at least 10 years are eligible to receive some form of pension, while those with 35 years of contributions will receive the full new State Pension.
However, pensioners may receive more than the standard rate if they have earned additional pension benefits, such as SERPS or the State Second Pension.
Pensioners are encouraged to regularly check their National Insurance record to ensure they are on track to qualify for the full amount. This can help avoid any potential shortfalls when it comes time to claim the pension.
