A World War II veteran is set to lose more than £41,000 in state pension due to what is being described as a "frozen" pensions policy.
The news of the state pension uplift was welcomed by millions after uncertainty surrounded the Tory’s commitment to the pension triple lock promise.
However, not all state pensioners will be seeing the increase as those who have moved overseas have had their pension payments “frozen”.
Anne Puckridge, who recently turned 98 years old, is one of those who will not have their pension payments rise in line with September’s inflation figure, which was 10.1%, due to her living abroad.
Anne served in three branches of the armed forces during the Second World War and moved to Canada in 2001 at the age of 76 to be closer to her family.
Since then, Anne’s state pension has been “frozen” at the rate it was when they left the UK. Currently, Anne receives a pitiful £72.50 per week despite her making the maximum amount of pension contributions.
Under the current pension rules, the UK’s state pension is only uprated for someone if they live in the UK, European Economic Area (EEA), Gibraltar, Switzerland, and countries with a social security agreement with the UK.
However, the popular retirement spots outside of Europe, Canada and New Zealand do not have this agreement and pensioners in these countries are not included in any uplift.
Had Anne stayed in the UK or moved to an unaffected country or territory such as the US, Israel, Jamaica and those in the EU, she would now receive £141.85 per week, soon to be £156.20 per week from April next year.
According to figures calculated by End Frozen Pensions, a campaign group fighting to have the policy changed, since 2001, Anne will have lost a total of £41,091 in pension payments.
If not included in the uprate in April, she will lose a monumental £4,350 next year alone.
Anne told Mirror Money: “For the past 21 years my pension has been frozen in time.
“After accepting the call to serve my country in World War II, I am now discarded in my old age, abandoned and denied the much-needed pension increases I thought I would receive.”
Anne has campaigned against the Government’s frozen pension policy for years and her recent call received the backing of over 60 MPs and Peers who signed an open letter to the Government calling for the to end its policy and to work with affected countries.
Canada has recently approached the UK Government, for the fourth time since 2013, to negotiate a reciprocal social security agreement which would end ‘frozen’ pensions for the 125,000 British pensioners living there.
However, the UK Government has yet to engage with the Canadian Government on the matter. The issue was recently addressed by a Canadian member of parliament Matt Jeneroux, in the House of Commons of Canada.
Speaking to the Canadian parliament he said: “Mr Speaker, the pensions of approximately 125,000 UK expats currently living in Canada are still frozen.
“These pensions are frozen because the UK Government and Canada do not have a reciprocal social security agreement. As a result, it punishes UK pensioners living in Canada.”
Currently, there are approximately half a million pensioners who are affected by the frozen pensions policy.
Anne added: “After campaigning for the end of this policy for many years, it saddens me greatly that the UK Government continues to ignore mine, and others, pleas to put a stop to this cruel policy.
“I wish for the UK Government to treat us the same as it treats those who were lucky enough to pick countries to retire in which are unaffected by this postcode lottery”
Ian Andexser, director of the International Consortium of British Pensioners, explained how of course, the rise in state pension was “welcome“ but it was “greatly disappointing” that the UK Government was continuing to exclude some state pensioners and that the current policy was “indefensible”.
He said: “Pensioners such as Anne do not want special treatment, they simply want to be treated like all other British pensioners who have paid their contributions. This indefensible policy leaves pensioners to face poverty and financial hardship.
“The UK Government is actively choosing to treat British pensioners across the world unequally, disregarding the damaging consequences it has on those affected.
“We hope the Government will stop ignoring these pensioners and give all British pensioners the payments they are entitled to, no matter where they live.”
A Department for Work and Pensions ( DWP ) spokesperson said: “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.
“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."
