UK. DWP publishes expat pension guidance ahead of Brexit

The Department for Work and Pensions (DWP) has confirmed that the UK state pension will be protected by the Withdrawal Agreement in new guidance examining the rights for UK nationals after the UK has left the EU. The guidance confirmed that UK nationals living in an EEA state or Switzerland by 31 December 2020 will be covered by the Withdrawal Agreement.

The UK state pension will be uprated every year that an individual continues to live there, regardless of whether the pension was claimed after 1 January 2021. The government previously confirmed that British citzens living in Ireland, Norway, Iceland and Liechtenstein would have their pension up-rated after public concerns were raised.

Those working in the EEA or Switzerland will also be able to count future social security contributions towards meeting the qualifying conditions for the UK state pension. However, those who move to an EEA state or Switzerland following 1 January 2021 may not be covered by the withdrawal agreement, meaning that any future entitlements, such as getting the state pension uprated, will be dependent on the outcome of negotiations with the EU and “may change”, though those who meet qualifying conditions will continue to receive the UK state pension.

This also follows an initiative by the government to reassure EU expats last year, which saw letters sent to over 363,000 UK pensioners living in the EU. Commenting, Aegon pensions director, Steven Cameron, said: “Up to a quarter of a million UK nationals who retired in other European countries will be celebrating this week as the government has confirmed they are eligible for the same uplift in their pension as retirees back home in the UK.

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