Annex A: Glossary of Pension Provision Basic state pension
4.The National Insurance Scheme operates on a pay-as-you-go basis. The state pensions of today's pensioners are paid for by today’s contributors. The basic state pension provides the foundation of retirement income - a third of all pensioner income.  It is the largest single source of support. It is paid, to all who meet the qualifying conditions, at a flat rate of £75.50 a week from April 2002 for single pensioners and £120.70 a week for couples.
5.Firstly, they must have paid 50 qualifying contributions in a tax year ending before 6 April 1975 or enough contributions in a tax year ending after April 1975 for that year to be a qualifying year. Secondly, enough contributions must be paid or credited to give qualifying years for about 90 per cent of the working life. In order to receive a full pension, men must have 44 qualifying years and women 39 qualifying years, over their working lives.
6.A reduced rate pension will be payable if the number of qualifying years is less than this but to receive any pension at all a person must have enough qualifying years to receive a pension of at least 25 per cent of the standard rate.
7.By 2020 both men and women will need the same number of qualifying years once the state pension age is equalised at 65. Currently, 3.4 million men and 3.3 million women receive a full basic state pension.