Millions of pensioners are set to get over £800 a month after the Department for Work and Pensions (DWP) confirmed next year's state pension rates. More than 12 million people across the UK claim the state pension and saw the triple lock restored in November's Autumn statement.
The state pension is supposed to increase each year in line with either inflation as measured by the consumer prices index (CPI), the average wage increase or 2.5% - known as the triple lock. Introduced by the Conservative/Liberal Democrat coalition government in 2010, the Tories' 2019 manifesto pledged to keep the triple lock in place for the duration of that parliament. However the triple lock was suspended during the pandemic because of an unusually large 8% rise in average earnings following the end of the government's furlough scheme.
In April pension pay rose by just 3.1% as inflation rose close to 10%, leaving millions of pensioners worried about meeting their bills. But in his Autumn statement in November Chancellor Jeremy Hunt retained the triple lock meaning that pensions will rise in line with inflation at 10.1% in April. The chancellor said this was "biggest ever cash increase in the state pension".
Read more: 13 things we've learnt from the Welsh Government budget announcement
The DWP has now confirmed the new state pension rates for 2023/24, and you could be in line for a huge boost if you're getting it, reports the Daily Record. You must have at least ten years’ worth of National Insurance contributions to receive any state pension payment 35 years to receive the full amount. Those getting the state pension can choose to receive their money either weekly or every four weeks - this is not the same being paid monthly as the DWP makes 13, four-weekly payments each year over a 52-week period which can result in two payments being made in the same calendar month. But most people refer to the four-weekly payment cycle as ‘monthly’ which will be used here to make the increased rates easier to understand.
Here are the new state pension rates for 2023/24 according to the UK government. You can get all the latest money-saving news straight to your inbox by signing up for our money newsletter here.
Full new state pension
You are eligible for the new state pension if you are:
- a man born on or after April 6, 1951
- a woman born on or after April 6, 1953
New state pension payment rates
- Weekly rate: £203.85, an increase of £18.70 from £185.15
- Four-weekly rate: £815.40, an increase of £74.80 from £740.60
Basic state pension (Category A or B)
You are eligible for the basic state pension if you are:
- a man born before April 6, 1951
- a woman born before April 6, 1953
Basic state pension payment rates
- Weekly rate: £156.20, an increase of £14.35 from £141.85
- Four-weekly rate: £624.80, an increase of £57.40 from £567.40
Widow’s pension
- Standard rate: £139.10 (from £126.35)
Pension Credit
- Single: £201.05 (from £182.60)
- Couple: £306.85 (from £278.70)
Attendance allowance
- Higher rate: £101.75 (from £92.40)
- Lower rate: £68.10 (from £61.85)
Carer’s allowance
- April 2023 rate: £76.75 (from £69.70)
Disability living allowance/child disability payment
Care component
- Highest: £101.75 (from £92.40)
- Middle: £68.10 (from £61.85)
- Lowest: £26.90 (from £24.45)
Mobility component
- Higher: £71.00 (from £64.50)
- Lower: £26.90 (from £24.45)
Personal independence payment (PIP)
Daily living component
- Enhanced: £101.75 (from £92.40)
- Standard: £68.10 (from £61.85)
Mobility component
- Enhanced: £71.00 (from £64.50)
- Standard: £26.90 (from £24.45)
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