Deferred state pension lump sum

What are the rules regarding taxation of the lump sum payment option when I claim my deferred pension?

Hi,

You can get a one-off lump sum payment if you defer claiming your State Pension for at least 12 months in a row. This will include interest of 2% above the Bank of England base rate.

You’ll be taxed at your current rate on your lump sum payment. For example, if you’re a basic rate taxpayer your lump sum will be taxed at 20%.
You can find out more here:

Delay (defer) your State Pension

Thank you.

Thank you