Britons Need £190,121 ISA to Match £12,548 State Pension Income
Updated
Updated · Express · Jun 16
Britons Need £190,121 ISA to Match £12,548 State Pension Income
1 articles · Updated · Express · Jun 16
Summary
A £190,121 stocks-and-shares ISA invested in the top 10 FTSE 100 dividend payers would generate about £12,548 a year — matching the current full state pension.
The estimate is based on a 6.6% dividend yield as of June 15 and reflects growing interest in ISAs among savers trying to boost retirement income beyond basic state support.
The full state pension currently pays £241.30 a week, and although the triple lock lifts it each year, many retirees still find it covers only a basic standard of living.
Tax pressure is also tightening: Rachel Reeves has frozen the personal allowance at £12,570, just above the £12,548 annual state pension, raising the risk more pensioners will face tax.
The wider backdrop is a higher state pension age — rising from 66 to 67 by April 2028 — a change the Office for Budget Responsibility says will save the government £10.5 billion by 2029-30.