UK state pension increases: how is the year calculated?

[Chongalulu]

On 12/02/2017 at 10:07 AM, theoldgit said:

The rate is set from when you actually claim your pension, my birthday is in March so I deferred my claim until the new rate kicked in the following month, it was frozen at the higher rate.
When you defer you obviously lose your payments in the interim period, though they do add a small amount to your base pension. 

That is my understanding from an online conversation via their website I had . So for example as my pension is claimable from May this year I decide not to claim it until May 2018 it will be payable at the rate appertaining at the review in April 2018 PLUS an uplift of 5.4% for the full year I didn't claim (this is calculated pro rata for other than full years) . Thereafter it is frozen at that rate until such time as I return to the uk. What this means for each year you put off claiming is that you get the benefit of whatever the triple lock formula increase allows, plus the uplift for a delayed claim. In rough terms say 8% assuming 2.5% annual increase which could be more given that inflation is forecast to increase. There are issues relating to the uplift not applying to the full amount depending on what element of your pension was due to being contracted out and whether you are under the new scheme but I won't complicate it further by factoring this in now!