4. Retirement allowance
Retirement allowance is a reduced rate of reduced earnings allowance (REA – see
here) for people over pension age, paid for life. Your REA does not stop simply because you have reached pension age. However, it can continue until you give up regular employment.
You qualify for retirement allowance if:
1Sch 7 para 13 SSCBA 1992•you are over pension age (see
here);
•you have given up regular employment;
•you were entitled to REA at a rate of at least £2 a week (in total, if you had more than one award) immediately before you gave up regular employment;
•you are not entitled to REA.
You can only get one award of retirement allowance, even if you had more than one award of REA.
2TA v SSWP (II) [2010] UKUT 101 (AAC)The amount of retirement allowance you get is £22.15 a week or 25 per cent of the amount of REA you were receiving, whichever is the lower. There are no increases for dependants.