Overview

• HMRC issued over 1.32 million ‘simple assessments’ to state pensioners in 2023–24, a 74% rise from the previous year
• Income tax thresholds frozen since 2021 combined with annual triple lock pension increases have drawn more retirees into taxable income brackets
• Pensioners who once fell below the personal allowance now face unexpected tax bills despite having only state pension income
• Many older people report confusion and intimidation after receiving terse two-word demand letters and struggle to access HMRC support
• Advisers warn the number of taxed pensioners will climb to over nine million by 2026 and urge retirees to check assessments for miscalculations before paying