Letters sent to Britons in France over UK pension top-up change
We review the process - and cost - for people to continue to make payments
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A reader recently contacted us to say they have been paying UK Class 2 National Insurance contributions (NICs) while working and living in France. However they have received a letter saying this is no longer possible but they can apply to pay at Class 3 level.
The communication follows the announcement in the UK’s 2025 Autumn Budget that those living outside the UK may no longer pay voluntary Class 2 NICs at the low Class 2 rate, formerly available to people who were working (employed or self-employed) in the UK before they left and continued working after moving to France.
Instead, from April 6, 2026, people abroad wishing to make voluntary NICs towards their UK State Pension may only do so at Class 3, which costs around five times as much.
Class 3 was also formerly the only rate available to early retirees in France living on other income, such as from investments or non-professional rentals.
If you have gaps in the previous six UK tax years (which run April to April) you may still be able to top up pre-April 2026 years at the Class 2 rate if you meet the former eligibility conditions.
Those who were previously set up to pay Class 2 from France have been receiving letters saying that their Class 2 arrangement has ended.
To convert the arrangement to paying Class 3 instead, you can do so via the UK government website.
The UK government says people should do this by April 5, 2027.
To be eligible for this simple transitional process, the following should apply:
you applied on or before April 5, 2026 to pay voluntary Class 2 or Class 3 NICs for the 2024/25 or 2025/26 tax year;
you pay, or have paid, the voluntary NICs you applied for by April 5, 2027.
To complete the process, which is initially done online, you need your UK National Insurance number and need to supply a contact phone number, including the code for France, and your full French address.
You will also be asked whether you wish in future to pay by Direct Debit or annual payment.
You should then print the form, sign the declaration at the end and post it to HMRC.
The application will be reviewed and you will be contacted by letter with more details, including whether it has been accepted and the deadlines for payment.
If you do not take this up or do not qualify for it, or are applying to pay NICs from abroad for the first time, you will need to fill in the more complex form CF83.
HMRC says that in this case you may need to have spent more time living or paying contributions in the UK to be eligible to pay Class 3 NICs for periods abroad.
This refers to the UK’s revised rules on paying voluntary NICs from abroad, under which you must generally have either previously lived in the UK for 10 years in a row or paid at least 10 years of ‘qualifying’ UK NICs.
The latter generally means contributions relating to work in the UK, although certain periods working abroad while remaining liable for UK national insurance may also count.
How much do voluntary NICs cost?
Voluntary NICs at Class 3 cost £18.40/week compared to £3.65 for Class 2 (or £956.80/year compared to £189.80).
The 'new' UK state pension is currently £241.30 a week/week and the state pension age is 66 but will rise to 67 by 2028 and there are plans to raise it further to 68 for those born from April 1978 onwards.
