UK State Pension

The UK changed the eligibility requirements for its basic State Pension from 6 April 2010. As a result of this change, more people, including some who previously worked in the UK and now live in Japan, will be eligible for a basic UK State Pension.

1. What has changed?

Depending on your age:

If you have worked in the UK and paid National Insurance contributions (NICs) for even a short period, you will now be entitled to receive part of a basic UK State Pension (a pro-rata basic UK State Pension) provided you have at least one qualifying year of NICs.

A qualifying year is a tax year (6 April in one year to 5 April the next year) where you had sufficient income to pay NICs or were treated as having paid or were credited with NICs.

2. How many qualifying years do you need?

The number of qualifying years required for a full basic UK State Pension has also been reduced. If you have 30 qualifying years you will now be entitled to a full basic UK State Pension. This applies to men born after 5 April 1945 and women born after 5 April 1950.

Previously, if you were a man you had to have 44 qualifying years and for women, 39 years.

3. Not everyone working in the UK will have paid National Insurance contributions

Some people who work or have worked in the UK will not have a NICs record or have accumulated qualifying years. This includes Japanese nationals exempted from paying NICs as a result of the Social Security Agreement between the UK and Japan. Therefore, this group of people will not be eligible for a basic UK State Pension.

More information on the agreement is available at HM Revenue and Customs website

4. What is the UK State Pension age?

The UK Stage Pension age is the earliest age you can get a UK State Pension. The current age is 65 for men and 60 for women born on or before 6 April 1950. But the State Pension age will gradually increase between 2010 and 2046.

For more details see Directgov website.

5. Unsure if you paid National Insurance contributions?

If you are unsure whether you paid NICs you can check by contacting the International Pension Centre. (Details listed below).

6. People living in Japan who are eligible - what next?

If you believe you are eligible for a UK State Pension, you should contact the International Pension Centre (details listed below) and inform them of your address. They will send you a UK State Pension claim form about four months before you reach UK State Pension age.

7. How will your UK State Pension be paid?

If you have a UK bank account, your UK State Pension can be paid directly into it. If you do not have a UK bank account, your UK State Pension will be paid by cheque (in sterling) sent by mail direct to your address at the end of every four or 13 weeks.

8. How much will your UK State Pension be worth?

If you have not yet reached UK State Pension age but would like to know how much your UK State Pension may be in the future, you can receive a Retirement Pension Forecast. Details are available on the Directgov website.

9. Can I continue to pay into my UK State Pension?

Yes. If you want to continue to pay UK NICs when living in Japan in order to increase the size of your UK State Pension, it may be possible to make Class 3 NICs. More information is available from the HMRC website.

10. Further information

For any further questions or information, please contact International Pension Centre.

International Pension Centre
Department for Work and Pensions
Tyneview Park,
Newcastle Upon Tyne, NE98 1BA, United Kingdom
Phone: +44 (0)191 218 7777
Email: tvp.internationalqueries@thepensionservice.gsi.gov.uk

For more background please see:

UK in Japan