In addition, more than one in five (22%) have no idea how much they will receive from the State Pension.

Research for Standard Life’s Retirement Voice report found widespread ignorance of the State Pension even though many will rely on it, at least in part, when they retire.

Standard Life says the lack of knowledge among those close to retirement is concerning and needs to be tackled.

Some 29% of 55- to 64-year-olds said they did not know how much they would receive from the State Pension. Even 20% of those aged 65 and over were unsure about they amount they would receive despite the fact many may be only a year or so from receiving the benefit.

Standard Life’s research, conducted among 6,350 adults, found consumers were in the dark about other details of the state pension:

• 38% don’t know how to calculate their state pension entitlement
• 37% don’t know what the current value of payments from the state pension are
• 25% don’t know that their National Insurance (NI) contributions determine the level of entitlement they will get via their state pension in retirement

The current full state pension amount is £203.85 for the 2023/2024 tax year and the State Pension is worth £10,600.20 per annum, assuming full National Insurance contributions have been made.

The state pension age is currently 66 but is due to rise to 67 by 2028.

Standard Life says that around 750,000 people are not receiving the correct State Pension amount either due to errors in National Insurance records or due to the Department of Work and Pensions (DWP) not making adjustments when there has been a change to a person’s circumstances.

State Pension Payments:

Source: Standard Life / DWP

Dean Butler, managing director for retail direct at Standard Life, part of Phoenix Group, said: “The State Pension is set to rise by 8.5% next April and remains an important part of most people’s retirement plans, but many are confused on the detail.”

• Boxclever conducted research among 6,350 UK adults. Fieldwork was conducted 26 July – 9 August 2023. Data was weighted post-fieldwork to ensure the data remained nationally representative on key demographics.