Is COPE Paid Before State Pension Age

Find out whether COPE pension income is paid before State Pension age, how it works, and when you can access your contracted out benefits.

Is COPE Paid Before State Pension Age?

If you have reviewed your State Pension forecast and noticed a COPE figure, you may be wondering whether it is something you receive and when it is paid. COPE stands for Contracted Out Pension Equivalent. It relates to a part of your pension that you are expected to receive from a workplace or personal scheme, rather than from the government.

This article explains whether COPE is paid before State Pension age, how it fits into your pension entitlements, and what you need to do to access it.

What is COPE?

COPE stands for Contracted Out Pension Equivalent. It is an estimate of how much pension income you are expected to receive from a workplace or private pension scheme that took over responsibility for part of your retirement benefits when you were contracted out of the Additional State Pension.

Between the late 1970s and April 2016, many people were contracted out of the Additional State Pension through their employer’s scheme. In return for paying lower National Insurance contributions, you gave up extra State Pension rights and instead earned extra pension benefits from your occupational or private pension.

The COPE figure shown in your State Pension forecast is an estimate of what you might receive from that alternative pension arrangement.

Is COPE paid by the government?

No. COPE is not paid by the government. It is not a separate pension, nor is it paid by the Department for Work and Pensions. It is an informational figure that helps explain why your new State Pension amount may be lower than the full rate.

The pension income related to COPE is paid by the pension scheme you were contracted out into. This is usually:

  • A workplace defined benefit pension

  • A defined contribution scheme

  • A public sector pension like the NHS, teachers, or local government schemes

Is COPE paid before State Pension age?

The answer depends on the rules of the pension scheme responsible for paying your COPE-related pension income.

If your contracted out pension is in a defined benefit scheme:

  • Payments typically begin at the scheme’s normal pension age, which is often 60 or 65

  • This means you may start receiving your COPE-related pension before you reach State Pension age

  • Some schemes may allow you to take benefits earlier with a reduced amount

If your contracted out pension is in a defined contribution scheme:

  • You may be able to access your pension pot from age 55

  • From April 2028, the minimum access age will rise to 57

In both cases, the income that reflects the COPE estimate can begin before your State Pension age, depending on your scheme and personal decisions about when to start taking benefits.

Will COPE affect my State Pension payments?

The COPE figure itself does not reduce your State Pension directly, but it does explain why your starting amount may be lower than the full new State Pension.

For example, if you were contracted out for many years, your State Pension may be less than the full amount of £221.20 per week (as of 2024 to 2025). The government assumes that your workplace or personal pension scheme will make up the difference.

How do I find out when my COPE-related pension is paid?

To know exactly when you will receive the income linked to COPE:

  1. Contact your workplace pension provider or scheme administrator

  2. Review any pension statements you have received

  3. Use the Pension Tracing Service if you have lost contact with the scheme

  4. Ask your former employer’s HR or payroll department for help identifying the scheme

Once you know which scheme holds your benefits, you can ask for a personal forecast and the options available for early or standard retirement.

Can I take a lump sum?

In some cases, yes. Depending on the value of your contracted out pension and the type of scheme, you may have the option to:

  • Take a tax-free lump sum

  • Withdraw the whole pot if it qualifies as a small pension pot (less than £10,000)

  • Transfer your pension into another scheme and access it through drawdown or annuity

Any such withdrawal options will be subject to age restrictions and tax rules.

Final thoughts

COPE itself is not paid as a separate pension, but the pension income it refers to can be paid before State Pension age, depending on the type of pension scheme you were contracted out into.

If you were in a defined benefit scheme, your COPE-related pension might begin at age 60 or 65. If you were in a defined contribution scheme, you might access it from age 55 or 57. The key is to contact your pension provider to understand your entitlement and the timing of your payments.