People on the New State Pension now receive up to £203.85 each week and those on the Basic State Pension get up to £156.20, following the UK Government’s annual uprating in April. However, new estimations from pensions and personal finance experts at Broadstone, indicate that another significant increase could be on the way for Britain’s 12.6 million pensioners next year - if inflation continues to decrease at its current rate.
The Consumer Price Index (CPI) for May remained unchanged at 8.7% and if it stays hovering around 8% for the September CPI - the inflation rate used under the Triple Lock guarantee - annual New State Pension payments in 2024 would rise by £848 to £11,448 and even if inflation drops to 6% it would still drive a £636 increase.
The Triple Lock determines the level of uprating for the State Pension and pays the highest between September’s CPI inflation rate, earnings growth, or 2.5%.
