Women set to receive larger state pensions than men for first time from next year

Women set to receive larger state pensions than men for first time from next year Men have typically received larger payouts under the old state pension system as they earned higher salaries Women are expected to start receiving larger state pensions on average than men for the first time from next year. Men have typically received larger payouts under the old state pension system as they earned higher salaries, while women were more likely to stay at home to look after children or elderly relatives. But the new state pension system, which was introduced in 2016, has been slowly closing the gap. The latest figures from the Department for Work and Pensions show women who claimed the state pension this year get just 36p less than men each week on average. In comparison, women who retired last year get £1 less a week - showing the gap is closing. Men who reached state pension age five years ago get £322 more each year compared to women. Former pensions minister Sir Steve Webb, who designed this new system and is now a partner at pension consultancy LCP, told the Mail on Sunday: "I firmly expect women to overtake men for the first time in the coming months." He added: "The post-war system was built around an assumption that men were the main breadwinners and women would be financially dependent upon them, not needing a pension in their own right." Under the old system, many people receive extra money on top of their basic state pension. This is known as SERPS (state earnings-related pension scheme) and this is worth a maximum of £230 a week. When the new state pension was introduced, anyone who had already built up a large top-up under the old system was given "transitional protections" to ensure they do not lose their value. Men are more likely to have larger or higher-value SERPS entitlements than women - but the number of men receiving these is falling. More than one in four men who reached state pension age five years ago had protected payments - but this figure today stands at one in five men. Sir Steve said: "With every passing year they become less relevant, because it gets harder and harder to have built up a big SERPS pension by 2016 the younger you are, because less of your working life is pre-2016." The full new state pension is worth £241.30 a week and the old basic state pension is now £184.90 a week. These are the full amounts of state pension that you can get. You may receive less than these amounts depending on your National Insurance record. You need 35 years of contributions to receive the full new state pension. The basic state pension is claimed by men born before April 6, 1951 and woman born before April 6, 1953. Anyone born after these dates will get the new state pension. The state pension age is 66 for both men and women, but it is gradually rising to 67 between 2026 and 2028. It is set to rise again to 68 between April 2044 and April 2046.