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£35 million added to State Pension pots

ended 04. February 2025

People wanting to maximise their State Pension by plugging gaps in their National Insurance record have contributed to a total of 68,673 years, worth £35 million, using the online service since April last year HM Revenue and Customs (HMRC) has revealed today. Analysis of the digital service has shown:

  • more than 37,000 online payments have been made through the service
  • 65% of the years topped up by customers are from 2017 onwards 
  • the average online top-up payment is £1,835
  • the largest weekly State Pension increase is £113.76

Newspage asked IFAs and financial services experts for their views, below.

7 responses from the Newspage community

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Ross Lacey
Director & Independent Financial Adviser at Fairview Financial Management
In our experience, it's worth everyone looking at their projected state pension and if it seems unlikely that they'll have the maximum available, to do some analysis and enquire about topping up or paying for part years. Generally, it takes around three years of receiving your state pension to "pay back" the amount it cost to buy the extra years. Naturally, everyone is in a different situation though, so it's worth speaking with a financial adviser for personal advice on the best way to do this, or even if it will be needed at all.
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Anita Wright
Chartered Financial Planner at Ribble Wealth Management
The State Pension remains a key component of retirement planning, as for many it is often the only guaranteed income source linked to inflation through the triple lock. For those looking to maximise their State Pension, plugging gaps in their NI record can be a highly effective investment. For context, paying £907.40 for a year’s worth of contributions in 2024/25 will result in an additional £328.64 annually for life, indexed to inflation. In practical terms, this means that within three years of receiving State Pension, the amount invested would have been fully returned. While the State Pension alone may not be sufficient to meet all retirement needs, it is still a crucial part of a well-structured plan. Ensuring full entitlement by addressing any NI gaps could significantly enhance financial security in later life. Advice to consumers: check your NI record to identify any shortfalls and assess whether topping up is beneficial given your financial situation and retirement plans.
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Gabriel McKeown
Political & Economics Writer at Sad Rabbit - Substack Newsletter
In the great pension race, every missing year is a hurdle, and with the cost of living crisis still present, many are rushing to plug NI gaps to secure a finish line of financial stability. Following the introduction of a streamlined online payment service, a considerable element of the previous administrative burden has been eliminated, driving a surge in top-ups. Furthermore, from a purely financial standpoint, topping up contributions offers a compelling proposition, as with inflation and longevity risks on the rise, maximising a reliable, inflation-protected State Pension can be a prudent hedge against future financial uncertainty. However, for those willing to explore beyond the State Pension, private investments in a diversified portfolio can enable individuals to build a strategy that adapts to market conditions and may outperform the fixed returns provided by government pensions, offering a more flexible approach tailored to risk tolerance, time horizons and financial goals.
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Riz Malik
Independent Financial Adviser at R3 Wealth
Anyone planning their retirement should look at filling any gaps in their National Insurance contributions, as it can significantly enhance their State Pension. It’s straightforward to check your NI record online—particularly important for those who have been overseas, self-employed or who have experienced breaks in employment.
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Scott Gallacher
Director at Rowley Turton
Topping up your state pension with voluntary NI contributions, if needed, is one of the smartest financial moves you can make—just note that if you’ve already hit the max entitlement, extra payments won’t add anything!
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David Belle
Founder and Trader at Fink Money
I quite literally cry at this. Why would they not top up their pensions which are invested in assets? Is the lack of financial understanding really that poor?
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Rakesh Dua
CEO at DUA Accountancy & Business Consultancy
We are all getting older and living longer and need support, especially financially. With good planning you can be more comfortable and secure. Your state pension is your right and you need to know whether it is optimised and whether you can top it up if you can. During your must vulnerable years, you must have as much support as possible.