The introduction of the new State Pension in April 2016 significantly changed the UK's retirement landscape, but a substantial number of pensioners remain under the old system. Understanding how this legacy scheme operates is crucial for those who retired before this date, as their entitlement differs fundamentally from those on the new system. The total amount you receive is divided into two main parts: the basic State Pension and any additional State Pension you may have accrued.
How the Basic State Pension is calculated
For those who reached State Pension age before 6 April 2016, the basic State Pension is not a universal flat-rate but is dependent on your National Insurance (NI) contributions. For the 2025/26 tax year, the full basic rate is £176.45 per week. To qualify for this full amount, you generally need 30 qualifying years of NI contributions or credits.
- Less than 30 years: If your NI record has fewer than 30 qualifying years, your basic State Pension will be reduced proportionally. For example, if you have 15 qualifying years, you would receive 15/30ths of the full amount.
- Minimum qualification: You must have at least one qualifying year to receive any basic State Pension.
- NI credits: You can receive NI credits for periods where you were unable to work, for instance, due to caring responsibilities or claiming certain benefits.
The Additional State Pension
In addition to the basic amount, you may also be entitled to an additional State Pension. This earnings-related element depends on the NI contributions you paid on earnings between 1978 and 2016. The additional pension was provided through two schemes:
- State Earnings-Related Pension Scheme (SERPS): In place from 1978 to 2002.
- State Second Pension (S2P): Replaced SERPS in 2002 and ran until 2016.
The amount of additional pension you receive can be complex to calculate and depends on your earnings history. Crucially, if you were 'contracted-out' of the additional state pension into an occupational or personal pension scheme, you would have paid a lower rate of NI and therefore have less or no entitlement to this part of the state pension.
Can you increase your old State Pension?
If you are already receiving the old State Pension, there are limited ways to increase your payment, but two options are available:
- Deferring your claim: You can choose to delay claiming your State Pension, which can result in a higher weekly amount once you do start claiming. For every nine weeks you defer, your pension increases by 1%, which works out to just under 5.8% for a full year.
- Inherited pension: In some cases, a surviving spouse or civil partner can increase their pension based on their deceased partner's NI record.
Comparing old vs. new State Pension
| Feature | Old State Pension (Reached State Pension Age Before April 2016) | New State Pension (Reached State Pension Age From April 2016) |
|---|---|---|
| Structure | Basic + Additional (Earnings-related) | Single-tier flat rate |
| Full Rate (2025/26) | £176.45 per week | £230.25 per week |
| Qualifying Years (Full) | 30 qualifying years | 35 qualifying years |
| Minimum Years | At least 1 qualifying year for a pro-rata payment | At least 10 qualifying years for a pro-rata payment |
| Inflation Increase | Basic pension typically follows the 'triple lock' (highest of inflation, earnings, or 2.5%), but additional pension components increase with inflation only. | Generally protected by the 'triple lock'. |
| Contracting Out | Reduced your additional pension entitlement | No impact on the new State Pension |
Conclusion
How much is the old State Pension? It is not a fixed figure but a highly individual amount determined by a complex set of rules related to your National Insurance record. It is composed of a basic flat-rate payment, which requires 30 qualifying years for the maximum amount (£176.45 per week in 2025/26), plus an additional earnings-related component for which many were contracted out. For those on the old system, understanding the nuances of their NI record and the impact of contracting out is vital for accurately assessing their total retirement income.
To check your personal entitlement and get a State Pension forecast, visit the official government website.
Additional factors affecting your old State Pension
Beyond NI contributions, several other factors can influence the final amount of your old State Pension. This includes receiving NI credits for periods of unemployment or illness, and the complex calculation of additional pension for those who were never contracted out. For instance, carers who had no earnings or low earnings could have built up S2P entitlement from 2002 onwards. The total amount can also be higher than the basic rate due to inherited pension rights from a late spouse or civil partner, a provision largely absent from the new State Pension. It is crucial to obtain a State Pension statement to get the most accurate picture of your individual entitlement.
Disclaimer: This article is for informational purposes and should not be considered financial advice. You should always consult with a financial advisor for personalised guidance.
Get the details right on your old State Pension
If you are approaching or have reached State Pension age before April 2016, understanding your entitlement is not as straightforward as it is for those under the new system. Your final amount is a combination of your basic pension and potentially an additional pension, both based on your National Insurance record. While the maximum basic payment is £176.45 per week for 2025/26, most people's final figure will vary. To get a personalised estimate, you can request a State Pension statement from the government.
