𝓤𝓷𝓲𝓽𝓮𝓭 𝓝𝓮𝔀𝓼

Need to know: MPs to Debate Doubling Tax Threshold for Pensioners After Petition Hits 100,000 Signatures

• A petition demanding Chancellor Rachel Reeves double the income tax threshold for state pensioners has smashed through 100,000 signatures, forcing MPs to debate the proposals.
• The campaign calls for pensioners to receive a separate tax code allowing them to earn £25,140 before paying tax – double the current £12,570 personal allowance. State pensions are forecast to surpass the existing threshold by 2027 due to the triple lock mechanism.
• Over 100,907 people have now signed the petition, with more than 50,000 signatures added in just 14 days. The Spring Statement on March 3 will see pressure mount on Ms Reeves as the Treasury must defend its position.
• Timothy Hugh Mason, who started the campaign, said: “We want the government to introduce a new tax code for state pensioners, set at double the basic threshold.” He argued that people with small private or workplace pensions are being taxed unfairly.
• The Chancellor froze income tax thresholds until 2031 in her recent Budget, meaning millions of pensioners will be dragged into paying tax from 2027. Ms Reeves has promised those receiving only the full new state pension won’t face tax bills, but has yet to explain how this will work.
• The Treasury has rejected the petition’s proposals, calling them “untargeted and costly”. Officials said doubling the allowance would disproportionately benefit higher-income pensioners and noted the UK already has the highest personal allowance among G7 countries.
• The Government confirmed it will formulate a plan in 2026 to ease the administrative burden for pensioners whose sole income is the state pension.

READ THE FULL STORY: State pension £25,140 tax threshold plan hits massive landmark as spring statement looms