Changes to the pension triple lock proposed by the Prime Minister are “completely unacceptable”, Scotland’s First Minister has said.
Andy Burnham announced plans to change how pensions are increased during his speech at the Labour conference this week, with payments currently rising by the rate of inflation, earnings or 2.5% – whichever is highest.
From 2030, under the plans, the automatic link with average earnings would be scrapped, with pensions to increase by either 2.5% or the rate of inflation.
The savings would be used to fund a national care service in England, but John Swinney has hit out at the plans, which he claims would see pensions reduced by £4 billion a year by 2050 in Scotland.
The estimate was reached by taking a population share of the £50 billion saving estimated by the UK Government.
“I have received an official estimate of the cost to Scotland of the Prime Minister’s attack on the triple lock,” the First Minister said.
“This analysis shows that by 2050, pensioners in Scotland will be losing £4 billion per year as a result of the Labour government’s cuts.
“And the Prime Minister plans to use it to pay for social care in England.
“This means that the incomes of pensioners will be almost £2,000 lower in real terms. It is absolutely unacceptable.
“One of the first things Keir Starmer did as Prime Minister was to attack our pensioners by cutting the winter fuel payment and it doomed him from the start.
“Andy Burnham is now making the same mistakes, and he should immediately row back on these plans and abandon his attack on people’s pensions.”
The UK Government has been contacted for comment.
