The British government has released guidance confirming that UK nationals living in the European Union (EU) will still receive their state pension in a no deal Brexit scenario.
However, the Department for Work and Pensions (DWP) clarified that ‘uprating’ (inflation) will depend on the deal reached with the EU.
In its guidance, the DWP explained: “The UK leaving the EU will not affect entitlement to continue receiving the UK state pension if you live in the EU, and we are committed to uprate across the EU in 2019 to 2020.
“We would wish to continue uprating pensions beyond that but would take decisions in light of whether, as we would hope and expect, reciprocal arrangements with the EU are in place.”
It also stated that it expects UK-based firms to have made plans to make sure that UK nationals in the European Economic Area will still receive payments from their annuities or personal pensions, even if the UK leaves the EU without a deal.
Furthermore, the government confirmed that benefits, including child benefit and disability benefit, would continue to be transferred to UK nationals in EU countries following Brexit.
It called on the EU and its member counties to “continue their commitments to EU citizens and protect the rights of UK nationals living in EU countries”.
The DWP continued: “We want UK nationals to be able to stay in the EU countries that they live in when the UK leaves the EU, and for their rights to employment, healthcare, education, benefits, and services to be protected.”