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WHILE THE STRESSES OF THE LAST TAX YEAR CAME TO AN END LAST MONTH, PENSIONERS ARE ALREADY BEING WARNED TO PREPARE FOR THE NEXT ONE 09:16, 30 May 2025 State pensioners have been warned to

prepare for a possible tax rise of £470 pounds following April's annual increase. That brought in changes to the triple lock and a freeze in tax thresholds, something that could lead to

a "nasty surprise tax," according to finance expert Shimeon Lee from the TaxPayers' Alliance. The state pension benefit increases by either the rate of inflation, average

wage growth, or a minimum of 2.5%, depending on which is the highest of the three, according to the new triple lock pledge. READ MORE: FULL LIST OF NATWEST BANK BRANCH CLOSURES IN JUNE AS 53

SHUTTING DOWN IN 2025 Last month saw a 4.1% boost in state pensions, leading to £230.20 a week in payments. Over the course of a year, this increase means pensions rise by £470, rising from

£11,502 to £11,972. Article continues below Therefore, the basic state pension saw payments rise weekly to £176.45, equating to £9,175 every year, as reported by the Mirror. Mr Lee warned:

"Those with incomes under the personal allowance generally do not pay tax on their income. "But because of these frozen tax thresholds, which have been frozen since 2021, more and

more people are being dragged into paying tax. That includes more people being pulled into paying the higher rate of income tax. "Frozen tax thresholds affect the poorest people in the

country the most, and they can be a really nasty surprise for those who did not expect to be paying tax and who are already struggling to make ends meet." This means that people will be

paying an additional £3,000 of income. Mr Lee continues: "Now, the personal allowance, if it had risen with inflation, should be around £15,500. That's a huge difference. It means

people are paying tax on an additional £3,000 of income. "If you take the income tax rate of about 20%, plus National Insurance of around 8%, that gives you a tax rate of roughly

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is sent out daily via email with all the updates you need to know on the cost of living, including DWP and HMRC changes, benefits, payments, banks, bills and shopping discounts. Article

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