Changes are to be implemented for some people who receive state pension payments from the start of 2022.
Now that the UK has left the European Union, the Government has confirmed plans to change the rules on how State Pension is calculated if you move abroad.
The benefit from the Department for Work and Pensions (DWP) supports more than 12.4 million people across the UK.
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It is not paid automatically, but it has to be claimed by those of eligible age, because some people choose to defer making a claim in order to keep working and contribute more towards their pension pot, the Daily Record reports.
The GOV.UK guidance states that the change in state pension calculation will affect people who move to live in the EU, EEA or Switzerland and those who have previously lived in Australia (before March 1, 2001), Canada, or New Zealand.
The GOV.UK website confirmed that from January 1, 2022, you will no longer be able to count periods living in Australia (before March 1, 2001), Canada or New Zealand, towards calculating your UK State Pension. The DWP added that this change would need to be approved by the UK Parliament.
You will not be affected by the change if you either live in the UK - whatever your nationality, or you are a UK national, EU or EEA citizen or Swiss national who was living it the EU, EEA or Switzerland by December 31, 2021.
The guidance clarifies that as long as you continue to live in the same country, you will still be able to count time living in Australia (before March 1, 2001), Canada or New Zealand to calculate your UK State Pension.
If you live in an EU or EEA country, or Switzerland, your UK State Pension will continue to be increased each year in line with the rate paid in the UK.
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