State Pension Likely to Rise by £488 a Year in April
BBC News reports that the state pension is likely to increase by £488 to £13,036.40 a year in April, based on official figures. This rise is determined by the triple lock pension guarantee, which compares average wage growth, inflation, or 2.5%, whichever is highest.
Under the triple lock:
- The flat-rate state pension for those who reached state pension age after April 2016 may be £250.70 a week (or £13,036.40 a year), representing an increase of £488.
- The old basic state pension for those who reached state pension age before April 2016 may be £192.10 a week (or £9,989.20 a year), a rise of £374.40.
The triple lock has come under scrutiny due to the growing number of pensioners and the potential fiscal pressure it places on the system. The increase will be confirmed in September, pending the release of the latest inflation data.
