FROZEN OUT ...OAPS WHO LIVE ABROAD
A report has revealed our top trade-deal targets, Australia and Canada, have been pushing for years for Britain to end the injustice that leaves pensioners in their countries without their full UK state pension.
Both governments have submitted evidence to an all-party parliamentary group on the issue of frozen pensions – where expats in certain countries do not receive annual increases to their state pension.
Of the 510,000 UK pensioners living on a frozen pension, 230,000 are based in Australia, with a further 150,000 in Canada – that’s 75% of those impacted by this unfair policy.
Both Australia and Canada have confirmed a readiness and willingness to work with our Government to end the injustice.
Both countries provide full state pensions to their pensioners who live here.
The UK is the only member of the Organisation for Economic Co-operation and Development to pay its OAPs differently based on where they live.
It penalises those who paid their taxes throughout their working lives but chose to live abroad in retirement.
The Canadian government said: ”We have raised, and sought to address this issue with the UK by proposing the two countries negotiate a comprehensive social security agreement.”
The Australian government also describes a “series of representations made to the UK government in recent years”.
The report by the All-Party Parliamentary Group on Frozen British Pensions found the pension policy is illogical, unfair and causes significant distress.
It recommends the Government ends the policy.
MP Sir Roger Gale, chairman of the all-party parliamentary group, said: “It is past time for this injustice to be addressed and the wrong of decades righted.”