As I (mis)understand it, UK pensions are frozen (ie not indexed linked) for Aus emmigrants. At what level?
Any ex-service pax who can tell me the impact on immediate service pensions? Does the freeze happen staright away, after index linking at 55, or at age 65?
The freeze only applies to the UK State Retirement pension. If you emigrate before state retirement age you will continue to accrue any pension increases up until yours is awarded. It is at this point that they are "frozen" - until, and if, the British government agrees to negotiate a new deal with Australia (and NZ, SA and Canada for that matter)to enable index-linking to take place. This appears highly unlikely in the foreseeable future (will cost too much!) and the best we can hope is for a change of government at the upcoming election which would at least probably mean a renewed call for a reform of this unfair system. Perhaps!
As for your Service pension, and I have one from 25 years in the RN, that is not subject to these restrictions (unless I have been badly misinformed!)and you will continue to receive index-linking after you have emigrated. To put a stop on annual increases for this particular pension would almost guarantee the tanks rolling down Whitehall !! You will, therefore, get your "15 year" increase at age 55 - presumably you received a reduced pension for the first 15 years in order to commute a lump sum?
