Comments
People on the full New State Pension could see payments rise by over £500 next year under the Triple Lock as earnings growth (4.7%) outpaces the current rate of inflation (3.8%). The increase under the earnings growth would see weekly payments of the New State Pension rise to up to £241.05 and £184.75 for those on the Basic State Pension.
Under the Triple Lock , State Pensions increase each year in-line with whichever is the highest of average annual earnings growth from May to July, Consumer Price Index inflation rate (CPI) in the year to September or 2.5 per cent.
However, finance experts warn the projected rise will see nearly 9 million pensioners pay tax in retirement. This is because under a 4.7 per cent uprating, the full New State Pension will be worth £12,