Martin Lewis issues update over State Pension becoming 'means tested'

The BBC Sounds and ITV star spoke out on his latest podcast episode this week.

Martin Lewis has issued a crucial update on reports the State Pension from the Department for Work and Pensions (DWP) could become MEANS-TESTED. The BBC Sounds and ITV star spoke out on his latest podcast episode this week.

Martin said: "As I always say when asked about gazing into the future, Parliament is omni-competent. Parliament can choose to do anything. It can choose to make the State Pension means-tested, I think it would be a very interesting question if it did make the State Pension means-tested - what would happen to people who had paid? "

He added: "I think it is unlikely but that is unlikely looking through my 2024 eyes." He went on to say: "In a totally different world in 2040 I can't make the prediction of whether these things will or won't happen. I think there would be a big issue of justice if it were to happen, the State Pension has never been means-tested."

READ MORE State pensioners waking up to free £150 payment that's 'automatic'

He added: "There's always a chance. Do I think it's likely? No." The Money Saving Expert (MSE) founder added: "I don't believe there are any current plans in place to means-test the State Pension. But who knows?

"Equally they could wipe the State Pension, they could say there's no more State Pension." The personal finance expert and consumer champion continued, saying: "That would be shocking, I would be campaigning against it vociferously."

Sir Edward Troup, a former Treasury civil servant, was reportedly appointed as an advisor to now-Chancellor of the Exchequer Rachel Reeves before the general election earlier this year. In an interview with LBC in July, Sir Edward said of the state pension: “Should you means test it? I mean yes there is still a link that you pay your National Insurance and you do get more state pension if you contribute more. But the link is very light now, and by and large we have a universal benefit of state pension.”

He continued: “We can all think of the wealthy individuals in this country and say, well, do we think he or she should have a full state pension? Or if the public finances are in a bit of a state, perhaps he or she should be giving that up? So, there is a debate to be had.”