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'Someone who has new state pension will pay tax come April ’27’

Daily Express

|

September 17, 2025

FROM FROZEN THRESHOLD

of the £12,570 income level at which pensioners would start to pay tax.

With the triple lock formula guaranteeing an increase of at least 2.5% the following year, the headline rate of the new state pension is certain to exceed the current tax threshold by 2027.

Former pensions minister Sir Steve Webb said yesterday: “The standard rate of the new state pension is creeping ever closer to the frozen personal tax allowance.

“We know for certain that someone who has no other income aside from the new state pension will be a taxpayer come April 2027.”

Sir Steve, a partner at consultants Lane Clark & Peacock, added: “It is already the case that nearly threequarters of all pensioners pay income tax, and the ongoing freeze in tax thresholds coupled with steady rises in the pension will drag more and more into the tax net.”

MEER VERHALEN VAN Daily Express

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