State Pension Increase Expected Next April
The new full state pension is projected to increase by £460 annually, reaching £230.05 per week, due to the triple lock mechanism. This decision will be finalized by the Work and Pensions Secretary before the upcoming budget.
| Score | Value |
|---|---|
Scale | 7 |
Novelty | 4 |
Positivity | 7 |
Reliability | 8 |
Actionability | 6 |
Society | 6 |
Journalism | 3 |
Highlights
- The new full state pension is expected to rise by £460 a year from April, reaching £230.05 a week.
- The increase is based on the 'triple lock' system, which ties pension increases to inflation, average earnings, or a minimum of 2.5%.
- Total pay in the May to July period rose at an annual rate of 4%, according to the Office for National Statistics.
- The full old basic state pension is expected to increase to £176.30 a week, or £9,167.60 a year.
- The final decision on the pension increase will be made by the Work and Pensions Secretary, Liz Kendall, around the time of the Budget.
Perspectives
- Critics argue that the triple lock is unfair as it may disproportionately benefit older individuals at the expense of younger generations, who may struggle to achieve similar living standards.
- Supporters of the triple lock emphasize its importance in maintaining the value of the state pension, especially for future retirees who may lack sufficient retirement savings.