A recent survey has shown that half of all 45-64 year olds in the UK are considering moving abroad
The latest Budget by George Osborne and the government has brought many adjustments and reforms to sectors across the economy.
One of those adjustments is bringing up the state pension age automatically in line with life expectancy and a replacement of the current means-tested system with a flat £140 weekly pension for all of the retires.
But an expat claims that the Budget has failed frozen-out pensioners and is adamant that British retires living in poverty abroad as an example in a British Virgin Island Company are not given assistance.
500,000 or so British OAPs living overseas, an example in an Offshore formations, don’t have inflation-proofed pensions.
Due to the fact there aren’t mutual social security agreements, their pensions are being frozen as soon as they start drawing them abroad. In a few serious cases, the pensioners are living through on as small as£6 a week.
One pressure group, known as the International Consortium of British Pensioners (ICBP), have been campaigning for the unfreezing of expat pensions for more than 20 years.
There are 146 ‘frozen’ countries in which there are Offshore company registration across the globe.
People who are thinking about emigrating abroad should always look at the effect the move might have on their future state pension entitlement.
It has been approximated that uprating frozen pensions might cost the government £478 million a year; close to one per cent of the overall pensions budget.