The latest wage growth figures mean state pensioners aged 74 and over could see weekly payments rise to £192.40 from April 2027, after Labour leader Andy Burnham pledged to maintain the triple lock. The Department for Work and Pensions (DWP) increases the state pension each April based on whichever is highest: wages, inflation or 2.5 per cent.
Wage growth expected to decide April 2027 increase
With inflation at 2.6 per cent, the 4.1 per cent wage growth figure is likely to be the deciding metric for next April's triple lock hike. A 4.1 per cent increase would work out at a £7.50 weekly increase for basic state pensioners, taking weekly payments to £192.40.
The basic state pension applies to women born before 1953 and men born before 1951. When the new rates take effect in 2027, retirees on the basic rate will be aged 74 and above for women and 76 and above for men.
Burnham backs triple lock commitment
Andy Burnham has given his public backing to the pensions triple lock, saying he will stick to the promises made in the Labour Party's 2024 election-winning manifesto about this state pension underpin. The triple lock was introduced in 2010 and dictates that, each April, the state pension will rise by the highest of three measures: the inflation rate as measured the previous September, the rise in average earnings calculated from May to July the previous year, or 2.5 per cent.
Since its creation, and thanks to periods of high inflation and soaring wages, the triple lock has become an expensive commitment which many within Whitehall would now either like to see modified or, ideally, scrapped.
Cost of triple lock compared to defence spending
In the 2025-26 tax year, state pension payments came to about £146 billion. In comparison, the UK spent just over £62 billion on defence in the 2024-25 tax year. Despite the cost, the triple lock remains popular with the public. Research from AJ Bell shows that nearly four-in-10 Brits (38 per cent) would like to see the triple lock made permanent, compared with just 6 per cent who want it scrapped.
