Nearly 450,000 retired UK citizens living overseas will not benefit from the upcoming increase in the state pension next year. The state pension is expected to rise by 4.7% in April under the triple lock mechanism, which ensures an annual increase based on the highest of inflation, wage growth, or a minimum of 2.5%.

Recent data from the Office for National Statistics confirms a 4.7% increase in average wage growth, while inflation stands at 3.8%. This suggests that the state pension will likely align with the rate of wage growth next year.

Unfortunately, around 453,000 expatriate pensioners residing in countries without reciprocal agreements, such as Australia, New Zealand, and Canada, will not see their pensions increase. For individuals whose state pensions are frozen, the rate remains fixed from when they first moved abroad and only adjusts upon returning to the UK.

State pensioners residing in the European Economic Area (EEA), Switzerland, and select countries with social security agreements may see their pensions increase annually while living abroad, excluding Canada and New Zealand. If the 4.7% increase is finalized, the new state pension could rise from £230.25 to £241.05 per week in April 2026, resulting in an annual boost of over £560.

The old basic state pension may also increase from £176.45 to £184.75 per week. Eligibility for the full state pension typically requires 35 qualifying National Insurance years, with a minimum of ten years for any pension entitlement. State pensions are administered by the Department for Work and Pensions (DWP).