Brits have been warned that more than five million people could be caught out by the tightening of new state pension rules. The CEO of finance firm deVere Group, Nigel Green, said hundreds of thousands of people are facing higher costs or losing access altogether, as, from April 6, tweaks begin to “reshape” how expats can build and protect their retirement benefits.

“A significant number of British expats are at risk of being shut out of cost-effective ways to secure their state pension,” he said. “The changes are structural, and the consequences for those who delay could be permanent.” Mr Green added: “The cost dynamics are changing sharply. What was once a relatively low-cost strategy to build entitlement is becoming significantly more expensive. This changes the equation entirely for many.”

Class 2 national insurance contributions will be abolished, meaning overseas residents can no longer pay the cheaper voluntary contributions. Only Class 3 will be able to be used, which is more expensive.

Moreover, in order to qualify for voluntary contributions, you will have to have lived in the UK for 10 years in a row or paid 10 years of NI contributions.

This will be an increase from the previous three-year requirement and will impact an individual’s ability to pay voluntary contributions when living abroad.

“Eligibility is tightening at the same time as costs are rising,” Mr Green said.

“Anyone who has worked in the UK needs to assess their position now, because the options available today will not necessarily exist after April 2026.”

The state pension currently requires 35 qualifying years for a full entitlement, the deVere Group highlighted, and to receive any at all the threshold is a decade.

Missing years directly reduce a person’s final payout, experts added, making it “critical for individuals to understand where they stand”.

Awareness of this “remains limited”, the group suggested, as many expats are unaware they may still qualify for Class 2 contributions under the current rules, or that their ability to make voluntary payments could be restricted entirely once the reforms come into force.

Mr Green added: “There’s a clear gap between what people assume and what the rules actually allow.

“Without reviewing their National Insurance record, individuals are making decisions in the dark.”

There’s a closing window to act, he warned, including reviewing contribution histories, identifying gaps and understanding eligibility under the current system are now time-sensitive steps.

Acting before the deadline could preserve access to lower-cost contributions and ensure that entitlement is not compromised, the expert said.