State Pension rates will rise by 4.8% rise from April in line with the triple lock (Image: Getty)
Older state pensioners will be given a cash boost of up to £439 extra per year following a triple lock change from April.
The State Pension rises at the start of each new tax year in line with the triple lock, with the increase this year set at 4.8%. The triple lock determines exactly how much State Pension rates rise each year based on whichever is the highest out of three factors – the consumer price index (CPI) measure of inflation (measured for September in the previous year), average wage growth between May and July of the previous year, or 2.5%. As average wage growth was the highest out of these three factors at 4.8%, State Pension rates will rise by this amount from April.
MPs approved a pensions motion in February confirming the 4.8% rise from April, cementing the government’s commitment to the triple lock.
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The increase will apply from April 6 and will take the full basic State Pension up from £176.45 per week to £184.90 – a weekly increase of £8.45.
So over a full year, this amounts to a total of £9,614.80 in pension payments (up from £9.175.40), giving older pensioners on the full rate an extra £439.40 annually.
Men born before April 6, 1951, and women born before April 6, 1953, receive the basic State Pension, but the amount you get depends on your National Insurance record.
To get the full amount, which will be £184.90 per week from April, a man born between 1945 and 1951 usually requires 30 qualifying National Insurance years, while men born before 1945 require 44 qualifying years.
For women, you’ll need 30 qualifying years if you were born between 1950 and 1953, or 39 qualifying years if you were born before 1950.
If you have less than the full number of qualifying National Insurance years then your basic State Pension will be less than £184.90 per week from April.
As for those getting the new State Pension, the weekly rate will rise from £230.25 to £241.30 from April 6 – a weekly increase of £11.05. This will give pensioners on the full rate an extra £575 annually.
The figures are based on the maximum possible amount for those with a full qualifying National Insurance record, so those without enough qualifying years will receive less.
Alongside the State Pension increase, MPs have also backed proposals to increase other inflation-linked benefits and tax credits by 3.8% from April. The Universal Credit standard allowances will also get an additional uplift of 2.3% after the Commons passed a social security motion last month.
Work and Pensions minister Sir Stephen Timms told the Commons in February: “Changes will mainly come into effect from 6 April this year and apply for the tax year 2026-27.
“The order maintains the triple lock – which benefits pensioners in receipt of both the basic and new State Pensions – raises the level of the safety net in pension credit beyond the increase in prices, increases the rates of benefit for those in the labour market, and increases the rates of carers benefits and benefits to help with additional costs arising from disability or health impairment.”