State Retirement Pensions: Income Tax
The question
To ask the Chancellor of the Exchequer, with reference to paragraph 4.167 State Pension and Simple Assessment of the Budget 2025, published in November 2025, when her Department began consulting on this policy.
Answered by Torsten Bell
As the Chancellor has said, over this Parliament those whose only income is the basic or new State Pension without any increments will not have to pay income tax.
As announced at the Budget, the government will ease the administrative burden for pensioners whose sole income is the basic or new State Pension without any increments so that they do not have to pay small amounts of tax via Simple Assessment from 2027-28.
The government will set out more detail next year.
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