Triple Lock Becomes Double Lock For 1 Year

Secret2ndAccount

Just announced by the pensions minister. Earnings rises expected to be around 8%, so the government has decided to ignore the earnings part of the triple lock for 1 year.
The rise in pensions will be the higher of inflation and 2.5%. That's expected to be inflation, but the number is not in yet.

RoadToRiches

Yeah going to cost them too much so cutting it -  BoE expecting a 4% peak with Inflation too.  All gone to pot

mat1964

Unfortunate but the right decision in my view.  This current average earnings rise of 8.8% is obviously an unforeseen anomaly.

pip895

It would have been ridiculous not to have made an exception.   Inflation looks like it will still give pensioners a decent rise..

MX5huggy

They got one thing right today then.

What will this cost me on my SP to be taken in 2050?

Marcon

Good call.

nigelbb

pip895 said:

It would have been ridiculous not to have made an exception.   Inflation looks like it will still give pensioners a decent rise..

Matching inflation is not a rise at all.

michaels

nigelbb said:

pip895 said:

It would have been ridiculous not to have made an exception.   Inflation looks like it will still give pensioners a decent rise..

Matching inflation is not a rise at all.

It is 4% more of not a rise than I will get on my salary and slightly more of not a rise than nurses and NHS staff will get.  Btu we are obviously less deserving.

Thrugelmir

MX5huggy said:

They got one thing right today then.

What will this cost me on my SP to be taken in 2050?

The pandemic is far from over in economic terms. I'd be more concerned as to how the ongoing bill is going to be funded first. Tax raising measures are a certainty. 

Silvertabby

I know people are howling about broken manifesto promises, but that was written before we knew that a global pandemic would knock the whole world on its a.r.s.e.

Of course it will have to be paid for, by the fairest means possible - and paying pensioners a wildly inflated 8.8% wouldn't have been fair.

And I've never understood why people suddenly stopped paying NI on their earnings, no matter how high, simply because they reached a certain age.

Stand by for the screaming from those who want it all on a butty - as long as someone else pays for it.

NedS

nigelbb said:

pip895 said:

It would have been ridiculous not to have made an exception.   Inflation looks like it will still give pensioners a decent rise..

Matching inflation is not a rise at all.

Indeed, but it's a darn sight better than the pay freeze many hard working folks received. Be grateful you are at least standing still.