State Pension Set to Climb by £602 Under Triple Lock
Millions of over-65s could be set for bumper payments under the next Prime Minister Andy Burnham, with forecasts showing the full state pension could rise by over £600 next April. The triple lock policy ensures the pension rises each year in line with whatever is highest out of inflation, wage growth, and 2.5%.
Based on last year's figures, the full pension, paid to everyone who has retired since 2016, could jump by £602. Calculations from experts at Predictionist suggest a 4.8% increase, matching the rate from April, would push the weekly pension to £252.88, or £13,149.88 annually.
Triple Lock Under Scrutiny but Burnham Rules Out Changes
Growing calls for Burnham to scrap the triple lock have been met with resistance, as he has ruled out making any changes. The policy, originally introduced by the Conservatives, is becoming an increasing subject of discussion among economists who cite its cost to the nation.
According to Predictionist, if the 4.8% annual increase continued to the end of the decade, the pension could be worth £1,895 more than at present. A spokesperson for Predictionist said: "The important point is that small annual increases become much bigger over time. A 4.8% rise may not sound dramatic in one year, but if it were repeated for a decade it would push the full new state pension above £20,000 a year."
Political Backlash Feared Over Triple Lock Changes
Any decision to scrap the triple lock risks a damaging political backlash, and with Burnham aiming to rescue Labour in the polls, it appears unlikely. Though economists say it will fall to a Prime Minister to make a bold decision at some point, Burnham has so far committed to maintaining the policy.
