Labour plans to adjust state pension triple lock from 2030

Summarised from 2 outlets · Updated 10 Oct, 08:25 · Archive

Andy Burnham announced plans to adjust the state pension triple lock from April 2030. Under the current system, state pensions increase by whichever is highest of inflation, average wage increases or 2.5 per cent. The proposed change would remove the earnings element, so pensions would rise by whichever is higher of inflation or 2.5 per cent. Labour says the savings generated will fund a new National Care Service. The Conservatives have declared maintaining the triple lock a manifesto point.

Martin Lewis has issued seven tips for people to boost their state pensions before any changes take effect. These include claiming National Insurance credits for helping with childcare before reaching state pension age, as these credits fill gaps in National Insurance records that determine pension amounts. People aged 40 to 73 can buy back up to six years of missing National Insurance contributions.

Antonia Medlicott from Investing Insiders argued the government has 'kept the wrong part' of the triple lock, suggesting the 2.5 per cent minimum should have been scrapped instead. She warned workers in their 30s, 40s and 50s to expect state pensions worth just 30 per cent of typical full-time earnings. For current pensioners, pensions will not decrease and will still rise by at least inflation or 2.5 per cent, though a separate concern has emerged over 600,000 more pensioners being pulled into paying income tax since 2021 due to frozen tax thresholds.

How it is being reported

• What Labour's State Pension reform plans mean for anyone born between 1967 and 1996A money expert has warned that Andy Burnham is getting it wrong over Labour's proposed triple lock changes to the State PensionThe Mirror · 10 Oct, 08:07
• Martin Lewis shares seven ways to boost your state pensionAndy Burnham announced proposals to adjust the triple lock in order to build up a National Care ServiceThe Independent · 8 Oct, 09:57

In this story: Andy Burnham · Martin Lewis · Labour · National Care Service

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