Warnings

[klondike]

Ministers warn state pension triple lock is 'not sustainable in the long term' after wages surge puts OAPs on track for 8.5% boost in April - piling billions of pounds on to government spending

Ministers have warned the state pension triple lock is 'not sustainable in the long term' after surging wages put OAPs on track for a bumper rise next year.

Under the triple lock, the payouts go up in April by the highest out of average earnings, CPI inflation or 2.5 per cent.

The pay number for the quarter to July was revealed by the Office for National Statistics (ONS) today as 8.5 per cent - and is likely to be higher than the inflation metric being published later this month.

Implementing that increase would mean a full basic state pension going from £156.20 per week to £169.50.

A full new state pension – typically offered to those who reached state pension age since April 2016 – would rise from £203.85 per week to £221.20.

The respected IFS think-tank estimated that the hike would cost the government £2bllion more than the OBR pencilled in six months ago.

Downing Street insisted the triple lock pledge will be kept, despite Work and Pensions Secretary Mel Stride refusing to rule out using the slightly lower figures for regular pay - not including bonuses.

Rishi Sunak dodged at the weekend on whether the Tories would commit to the mechanism again in the next manifesto, amid mounting concerns about the burden on the public finances.

But Mr Stride went further today, saying: 'We've known for a long time, that in the very, very long term, you're absolutely right, it is not sustainable.'

Former Cabinet minister Lord Hague has also called for it to be scrapped to stem spiralling spending.

https://www.dailymail.co.uk/news/article-12507783/State-pensions-boost-April-triple-lock-wage-rises.html

Pensioner warns Ministers that allowing the pension to again fall in real terms is unacceptable 
Not that they'll be getting my vote anyway   but they might from others and the most likely to vote group of all is pensioners. 

[Scrumpy]

Liars.. They won't be getting a vote from me..

[Alex]

Labour won't commit to keeping it either, Ange said so on telly.

[klondike]

Well they weren't getting my vote either anyway 

[Diasi]

Labour won't commit to keeping it either, Ange said so on telly.

It's Labour who've always been the most vocal about scrapping the Triple Lock which was introduced by the Tories & it's Labour who've already done the most damage to the State Pension system.

I think it will be scrapped within a short space of time, after the 2024 General Election, as HMG will need the money saved to spend on illegal immigrants.

[Scrumpy]

Discussed on GMB this morning..  They seem to think that the government wouldn't dare go back on what was promised.. 
It will be the final nail in their coffin if they don't come good on this.. It is the 'Older' people who bother to get off their arses to vote..

[klondike]

As was said Labour will can it when they get in. By the time the next election after that comes it will be a forgotten thing on the past. Same will apply with stuff like personal transport etc. I think us boomers may have seen some bad times but we have also seen the best they are likely to ever be. In this regard we are in very late autumn now and there is a hard winter coming.

[GrannyMac]

'Ange' is also quoted as saying Labour will ban zero hours contracts.  I'd like to respect Rayner for achieving what she has from a very modest start, but I'm struggling with that.  I think she's as divisive as any of the privileged old boys, because of the chip on her shoulder.

[Diasi]

'Ange' is also quoted as saying Labour will ban zero hours contracts.

I hope she consults with those workers who like zero hours contracts.

For years I was a subcontractor whereby I didn't have any contract.

Anyway, back to the Triple Lock, I do wish the duplicitous media would stop describing £700 / £900 pa increases as 'pension hikes' & 'bumper pension increases'.

Mine won't be £700 as I'll pay 20% straight back in income tax.

[GrannyMac]

Contractors and other self employed have no guarantees.  Youngsters like my granddaughter who work as well as studying also like zero hours.

[klondike]

I spent a big chunk of my working life as a contractor but they weren't zero hours they typically lasted 6 months. There were big tax advantages for me and the company I contracted to. I think with current zero hours contracts those on the contracts don't see much advantage as their rates probably get cut because of the tax advantage.