Pensions: What is the triple lock?

Prime Minister Liz Truss says she is "completely committed" to maintaining the triple fastener for pensions.

Her comments came aft Foreign Secretary James Cleverly said helium could not springiness radical "certainty" that the authorities pension would emergence with surging inflation.

At present, the authorities pension is expected to summation each twelvemonth successful enactment with whichever of the pursuing 3 things is highest:

This is known arsenic the triple lock. The summation comes into impact each April.

It was introduced by the Conservative/Liberal Democrat conjugation authorities successful 2010.

In its 2019 predetermination manifesto, the Conservative Party said it would support the triple fastener successful spot for the duration of this Parliament.

The authorities had antecedently pledged to reconstruct the fastener from April 2023.

Men and women are presently entitled to the authorities pension at the property of 66, but this volition scope 67 by 2028.

Inflation - which measures the rising outgo of surviving - accrued to 10.1% successful the twelvemonth to September.

The latest figures for mean wage increases are lower, astatine 5.4%.

The Resolution Foundation deliberation vessel has estimated raising pensions astatine the aforesaid gait arsenic mean wages rise, alternatively of inflation, would prevention the authorities £6bn adjacent year.

In a BBC interview, Foreign Secretary James Cleverly was incapable to perpetrate to continuing with the lock.

Several hours later, however, Ms Truss told MPs she wanted to support it.

"We volition support the triple fastener and I americium wholly committed to it and truthful is the chancellor."

New Chancellor Jeremy Hunt is owed to springiness a connection connected the government's plans for taxation and spending connected 31 October.

Charities reason the authorities pension is comparatively small to unrecorded on, and debased compared with planetary comparisons.

For immoderate pensioners, peculiarly women, it whitethorn beryllium their lone root of income if they had small oregon nary accidental to physique up a backstage pension.

The triple fastener warrant was introduced to guarantee pensioners did not spot immoderate emergence successful their authorities pension being overtaken by the rising outgo of living, nor that the moving colonisation would beryllium spot a overmuch bigger income emergence than them each year.

However, it has proven to person outgo much than expected.