Frozen UK pensions mean British retirees in Thailand receive a State Pension that stays at the same weekly rate for as long as they live in the Kingdom, however much prices rise. A campaign group is now urging those affected to register to vote in the UK, arguing that organised pressure on MPs is the only realistic route to changing the policy.
The rule applies to anyone living in Thailand who built up a UK State Pension through National Insurance contributions, regardless of nationality. That includes Thai nationals and others who worked in the UK before moving here.
How the freeze works
The UK State Pension is paid worldwide, but annual increases only apply to pensioners living in the UK, the European Economic Area, Switzerland, and countries with a reciprocal social security agreement that covers uprating. The United States and the Philippines are among those countries, but Thailand has no such agreement.
For pensioners in Thailand, the payment is fixed at the rate in force when they first claimed it abroad, or when they left the UK if they were already receiving it. It does not rise again unless they return to the UK or move to a country where increases apply.
In the UK, the State Pension rises each April under the triple lock, by whichever is highest of inflation, average earnings growth or 2.5%. The full new State Pension rose by 4.8% this April to £241.30 (about 10,600 baht) a week.
By contrast, some of the longest-frozen pensions overseas are reported to be as low as £20 (about 880 baht) a week.
The gap grows every year because each missed increase compounds the next. Financial advisers estimate that a retiree who moves to a country where the pension is frozen could lose tens of thousands of pounds over a 20-year retirement, depending on their entitlement and when they left the UK.
The UK government’s position
Pensions Minister Torsten Bell told MPs on June 2 that the State Pension is payable regardless of nationality. He said annual uprating only applies where there is a legal requirement, usually under a reciprocal agreement, and that Thailand is not one of those countries.
Bell, who kept his post in Prime Minister Andy Burnham’s July reshuffle, said the government’s priority remains pensioners living in the UK. The policy has been kept by successive UK governments.
About 453,000 of the roughly 1.1 million people drawing a UK State Pension overseas live in countries where it is frozen. Most of them live in Australia, Canada and New Zealand.
The Department for Work and Pensions has estimated that raising all frozen pensions to current UK rates would cost about £930 million (about 40.9 billion baht) a year. Campaigners argue that applying only future annual increases, without backdating, would cost far less. Sir Roger Gale MP, who supports the campaign, has put the first-year cost at £38 million.
Campaigners turn to the ballot box
The British Overseas Voters Forum (BOVF), which describes itself as non-party-political, is one of the groups campaigning on the issue. It argues that the freeze is unfair because affected pensioners paid the same National Insurance contributions as those whose pensions rise each year.
The group’s main focus is voter registration. Since January 16, 2024, British citizens abroad who have previously lived or been registered to vote in the UK can register for UK general elections, however long they have lived overseas. They register in the last constituency where they lived or were registered.
BOVF argues that sympathy from politicians has never delivered reform. Its view is that MPs will act only if overseas voters register in large numbers and are linked to specific constituencies, particularly marginal seats.
Other groups, including End Frozen Pensions and the International Consortium of British Pensioners, have campaigned on the issue for years without a change in policy. Campaigners have also submitted evidence to the UK’s Pensions Commission, whose final report is expected in spring 2027.
What it means for retirees in Thailand
Frozen UK pensions only affect the State Pension. Occupational and private pensions follow their own scheme rules, wherever the pensioner lives.
Pensioners can check their State Pension forecast on the UK government’s website. Those considering a move may wish to seek regulated financial advice on how the freeze applies to them. Information on registering to vote from abroad is available at gov.uk/register-to-vote.
The story Frozen UK pensions: why Thailand’s British retirees lose out as seen on Thaiger News.
