Shopper numbers on UK high streets at highest since pandemic
08 Jul 2021
08 Jul 2021
The UK Treasury has hinted that it could block an increase to the state pension, backtracking on the manifesto pledge to keep the triple lock.
“I very much recognise people’s concerns,” Chancellor Rishi Sunak told the BBC.
The triple lock “needs to be fair to taxpayers as well as pensioners” he said.
A statistical anomaly could mean pensioners receive an 8% windfall to their pensions.
Under the triple lock, the state pension rises each year in line with whichever figure is highest out of inflation, wages or 2.5%.
The Office for Budget Responsibility published figures earlier in the week forecasting that wages could jump 8% this year.
The organisation noted that if the Treasury does top-up pensions in line with wage increases, it will cost the government an extra £3 billion.
“It’s wrong to make policy based on speculation, we should wait for the actual numbers to be finalised,” the Chancellor told BBC News.
When asked in October whether the triple lock was safe, Chancellor Rishi Sunak said: “Yes, our manifesto commitments are there and that is very much the legislative position.
“We care very much about pensioners and making sure they have security and that’s indeed our policy.”
The age at which people receive the state pension has been increasing as people live longer. It is currently 66 for men and women, and the government has plans for the increase to 68 to be brought forward.