Pensions - Articles - Extension of deadline for state pension top ups

 However, the written statement confirms that the government has seen a ‘surge’ in interest, with phone lines to both DWP and HMRC repeatedly unable to cope with demand. Now the Government has accepted that people need more time to make the necessary checks and decide whether topping up is right for them, and will now be able to pay for historic years until 31st July 2023. In addition, people will still be able to pay these historic years at current rates for voluntary NICs rather than the increased rate which would otherwise apply from April.

 Steve Webb, who has been calling for an extension to the deadline, said: This is great news for people thinking of topping up their state pension. For most people, paying voluntary NI contributions to deal with a shortfall in their state pension makes excellent financial sense. But it is also important to make sure that extra contributions are right in your individual case as sometimes additional contributions may not boost your pension. People need time to talk through their options with DWP and then make the correct payment to HMRC and this extension to the deadline should give them time to do this. The Government is to be commended for listening to the calls to extend the deadline”.

 LCP have developed a simple tool to help people understand their state pension forecast and what this means for the ability to top up. This can be found here

 * Written statements - Written questions, answers and statements - UK Parliament