Retired expats have been denied millions in pension payments, following a European Court of Human Rights (ECHR) judgement today.
Pensioners living abroad have fought an eight-year court battle to stop the Government freezing their state pensions at the level paid when they reached retirement.
Some expats are receiving as little as £6 a week, and argued they should be entitled to inflationary pension increases as they had paid into the system during their working lives.
However, the ECHR ruled the UK's decision to not index-link pension increases is not discriminatory.
The court says those pensioners have chosen to live in societies and economies outside of the UK.
"To accept [the] arguments would be to lead to judicial interference in the political decision as to the redeployment of public funds," it adds.
With roughly a million pensioners living abroad, a change would have cost the Government about £500m a year.
Those who retired in the early 1970s receive around £6 a week, while those retiring in the 1980s get £30 a week. This compares to the current state minimum of £95.25 per week, paid to pensioners still living in the UK.
Those living in certain countries with reciprocal arrangements, such as the US or EU nations, receive the payment increases. However, those in countries such as Canada and Australia have been denied the extra money.
Women and young people adversely affected
A question of selectivity
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