State pension to rise by more than 10 per cent from April (Dominik Lipinski/PA)

Britain State Pension The chancellor is set to increase by more than 10 percent from April 2023 onwards Jeremy Hunt “Pledge to Respect”Triple lock“Commitment to them autumn statement Last November.

“Triple Lock” is a guarantee that monthly payments will increase with whichever of the following three options is the highest: Consumer Price Index (CPI) measure inflation (taken from its rate in previous September), Avg earning Between May and July of the previous year or, simply, 2.5 percent.

The policy was suspended for the 2022/23 tax year and replaced with a “double lock” to accommodate artificially high wage growth caused by people returning to work during the coronavirus pandemic.

Mr Hunt duly confirmed in his speech to the House of Commons on 17 November that the triple lock would be restored and pensions would be. CPI uprated in line with inflationThat stood at 10.1 percent last September, well above the average earnings rate of 5.2 percent or the base 2.5 percent.

What this actually means is that anyone receiving the full new state pension from Monday 10 April will receive an extra £19 a week compared to anyone who reached state pension age before April 2016 (and received the full basic state pension). An additional £14 will be received weekly.

It takes £10,600 a year or £203.85 a week, up from £185.15 last financial year, up from £141.85, to £8,100 or £156.20 last financial year.

The Pension Credit Standard Minimum Guarantee will also increase by 10.1 per cent in line with CPI inflation, taking its amount to £201.05 per week for single claimants and £306.85 per week for couples.

See also  The world's oldest person, Sister Andre from France, has died at the age of 118

While this is good news for the 12.5m older Britons currently claiming the state pension, it is still out of step with CPI due to the September delay, with the rate falling to 10.7 per cent from 11.1 per cent in October. in November, which is still above what pensioners receive.

Remember that to receive any form of state pension, you need to have made at least 10 years’ worth. National Insurance (NI) contribution and 35 years’ if you expect to receive the full amount.

If you are currently nearing retirement age, you may want to check your state pension rights here and your NI record here.

You can find everything you need to know about the new payment rates for April Department for Work and Pensions here.

Source

By admin