Threshold freeze sees more pensioners paying income tax

HMRC data shows that there has been a significant increase in the number of people of state pension age paying income tax. This surge is attributed to frozen tax thresholds and successive, significant increases to the state pension. The data shows that as of 2021/22, 6.7m pensioners were paying income tax, with projections of 7.1m in 2022/23, 7.9m in 2023/24, and 8.5m in 2024/25. Figures show that nearly 2.5m retirees in Britain receive state pensions that exceed the personal tax allowance.