The state pension policy means increases to the sum are only available if individuals live in certain countries. It means an estimated 500,000 British expats are missing out on annual increases according to the End Frozen Pensions Campaign.
This is the case for Chris Tebbs and his wife, who moved to Canada back in 2003.
Mr Tebbs grew up in Yorkshire, and worked in the UK for over 42 years with a technical institute for the textile industry.
This was after five years of accountancy and a short period of time spent in the Royal Navy.
Throughout his working life, Mr Tebbs also worked part-time as a Naval Reserve for approximately 20 hours per week, and four weeks full time per year.
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It is this sum that he uses to provide him and his wife with some interest receipts.
However, for the last three years, Mr Tebbs described this sum as “negligible”.
He continued: “All this has happened over a period that has seen significant increases in inflation in Alberta.
“So unless we get a better exchange rate or an increase in the State pension, finances are going to get tighter each year.”
In total, Mr Tebbs made 42 years of National Insurance contributions, and his wife over 26 years of her own record.
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Having served some 31 years of Naval service, Mr Tebbs expressed his frustration at his sum being static.
He explained: “If I were to return to the UK, the country would not only have to provide the extra pension, it would also have to provide me with health care benefits and all the other allowances that are available such cold weather heating allowance.
“I am also aggrieved that if I travel 150 kilometres south over the border to live, I would get the full payment including inflation increases.
“Yet the USA is a totally foreign country and not a commonwealth country with the Queen as Head of State as is Canada.
“Certainly, even at current exchange rates, an extra £127 per week would have a significant effect on our living standards.”
The Government confirms annual increases are only available to Britons living in:
- The UK
- The European Economic Area (EEA)
- Switzerland
- Gibraltar
- Countries with a social security agreement with the UK (but not Canada or New Zealand).
Recently, a petition was launched on the official Parliament website calling for “parity” for state pensioners living in the UK and overseas.
Describing the policy as “unjust”, it called for the Government to take action.
At the time of writing, the petition has garnered 6,212 signatures, falling short of the 10,000 needed to trigger a Government response.
A DWP spokesperson previously told Express.co.uk: “We understand that people move abroad for many reasons and that this can impact on their finances. There is information on GOV.UK about what the effect of going abroad will be on entitlement to the UK state pension.
“The Government’s policy on the up-rating of the UK state pension for recipients living overseas is a longstanding one of more than 70 years, and we continue to uprate state pensions overseas where there is a legal requirement to do so.”
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