The UK state pension is expected to see a significant increase of over £400 per year due to the triple lock mechanism. Here’s what retirees can expect in the coming years.
State Pension to Increase to £12,000 by 2025-2026
According to theguardian, the full UK state pension for men born after 1951 and women born after 1953 is set to rise to around £12,000 in 2025 and 2026. This increase follows a substantial £900 boost in 2023, reflecting the government’s commitment to maintaining the triple lock policy, which ties pension increases to the highest of inflation, average earnings, or 2.5%.
Pre-2016 Retirees May See Additional Benefits
Retirees who qualify for the secondary state pension could also benefit from a £300 annual increase. This adjustment is intended to support those who retired before 2016 and may not receive the full state pension amount.
Government Faces Criticism Over Changes to Winter Fuel Payments
The government’s recent decision to limit winter fuel payments to those on pension credit has sparked controversy. With many pensioners potentially losing this support, Labour MPs have urged a reconsideration of the new means-tested policy, which could leave thousands struggling with household bills.
Half of Pensioners Receive Less Than the Full State Pension
New data reveals that only about half of state pension recipients currently receive the full weekly amount, with approximately 150,000 pensioners getting less than £100 per week. The expected increase may help offset this disparity and provide relief to those most affected.
Triple Lock Commitment Remains Until End of Parliament
Chancellor Rachel Reeves has reaffirmed the government’s support for the triple lock until the end of the current parliament, ensuring continued increases to the state pension amid rising living costs.
