The Isle of Man will consider whether it follows the UK’s state pensions reforms and introduce a single-tier pension of £142.70 per week, under a review of its reciprocal agreement with the UK.

Currently, the Isle of Man holds a reciprocal agreement with the UK which means it would need to introduce the proposed single-tier pension at the same time that the UK implements these changes.

But the Island’s Department of Social Care will now review whether the reciprocal agreement should be maintained, following enquiries from the public about the UK’s state pension reforms.

The island’s minister for social care Chris Robertshaw MHK said: “The Isle of Man is just about to commence a welfare reform project which, among other things, will consider whether maintaining the current reciprocal agreement with the UK would be the most beneficial form of agreement for the island in the future. The outcome of this review will determine whether we will have to follow the UK and introduce the single-tier pension.”

He added: “I think it is important that the public are kept up to date with any changes and my department will ensure we continue to provide timely updates on this issue.”

The UK’s reforms will introduce a single-tier pension of no less than £142.70 per week at today’s values and people would be paid a full pension if they have paid or been credited with national insurance contributions for at least 35 years.

The pension will continue to be uprated each year in the same way as the basic state pension is currently. This will only affect people reaching state pension age on or after 6th April 2017.

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