The proposed single-tier state pension will result in higher earners receiving around £20 a week less than they currently get, Pensions Minister Steve Webb has said.

The plans will see the end of the state second pension (S2P), which tops up the basic state pension for those who made national insurance contributions over their working life.

However, the new single-tier flat-rate pension will be around £140 a week, £20 less than the £160 a week which around a million high earners currently expect to receive upon retirement, through the combined basic state pension of £107.45 a week plus their S2P.

While all the accrued S2P benefits will still be paid out, these will cease to accrue once the new state pension is introduced. However, the final details of the reform will be set out in a White Paper and Webb said: "We have always used the phrase £140. When we do the White Paper we will update that figure."

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