Only 45% of those coming up for retirement will be entitled to the full SSP, according to a freedom of information request to the Department for Work and Pensions, revealed by Hargreaves Lansdown.

Only those with 35 years of national insurance contributions (NICs)will be entitled to the full SSP, likely to be set at £148.40 per week. The single state pension payment will replace the current means tested system, which includes a basic payment and a second payment based on employment earnings (Second State Pension), which will be replaced with a single pension payment from 2016-17. This is meant to simplify the current arrangements.

However, anyone who has been contracted out through a work or occupational pension during their working life is unlikely to receive the full SSP payment.