Glossary · UK
What is Living Pension Standard?
A voluntary employer accreditation requiring pension contributions above the auto-enrolment minimum to deliver adequate retirement income.
Full Definition
The Living Pension Standard is an accreditation developed by the Living Wage Foundation, encouraging employers to contribute at levels designed to give workers a reasonable retirement income rather than merely meeting the statutory auto-enrolment minimum (8% total, 3% employer). The benchmark targets contributions that, combined with the State Pension, aim to deliver a retirement income meeting the PLSA Minimum Retirement Living Standard. For 2026/27 the State Pension is £221.20/week (£11,502/year), and the Living Pension is designed to bridge the gap to a comfortable standard. Employers who achieve accreditation signal a commitment to worker financial wellbeing beyond legal compliance. The Living Pension is distinct from and complementary to the auto-enrolment regime.