It might not be the first place that Britons think of when planning their retirement but Panama shouldn't be forgotten. It's stolen the number one spot in the 12 top countries to retire to in 2022 and here's why.

It continued: “The beautifully maintained Pan-American Highway runs the breadth of the country, making travel easy.

“High-speed internet and cell coverage are remarkable… as are the power, air, and water quality.”

However, despite these obvious attractions, Britons should be aware that they would not be able to rely on the full state pension if they moved to Panama.

Although they would still receive a pension from the UK Government, it wouldn't rise annually unless they live in the UK, EEA, Switzerland or Gibraltar.

READ MORE: Pension alert as new plans could see low-paid workers get money boost

Before making a final decision, retirees may want to first consider how it might affect their state pension.

Britons can claim state pension abroad if they’ve paid enough UK National Insurance contributions to qualify.

Pensioners will need at least 10 qualifying years on their National Insurance record to get any state pension, but 35 for the full pension.

More information can be found by typing state pension into Gov.uk