State Retirement Pensions: Income Tax

(asked on 28th January 2026) - View Source

Question to the HM Treasury:

To ask the Chancellor of the Exchequer, what estimate the Treasury has made of the additional income tax collected from pre-2016 State Pensioners as a result of the frozen personal allowance.


Answered by
Torsten Bell Portrait
Torsten Bell
Parliamentary Secretary (HM Treasury)
This question was answered on 3rd February 2026

Revenue estimates from, and individuals impacted by frozen thresholds are set out by the Office for Budget Responsibility in Table A of their November 2025 Economic and fiscal outlook, and Table 3.19 of the detailed forecast table of receipts:

Office for Budget Responsibility – Economic and fiscal outlook – November 2025

Office for Budget Responsibility - Economic and fiscal outlook detailed forecast tables: receipts

Those whose sole income is the basic or full new State Pension without any increments will not pay any income tax in 2026/27.

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