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Pensions to rise yearly but growth may slow, John McDonnell warns

Pensions to rise yearly but growth may slow, John McDonnell warns
Triple lock changes to pension growth

John McDonnell explains that from April 2030, pensions will continue to increase each year by at least either price inflation or 2.5%, and will hold their value relative to earnings over time.

However, he stresses that breaking the direct link between pension increases and earnings could reduce the pace of pension growth in future years.

Earlier this year, John McDonnell highlighted that UK pensioner poverty rose from 15.7% in 2012/13 to 18.6% in 2023/24, according to official figures. McDonnell has also called for greater redistribution of wealth to support economic growth. The new pension policy changes come amid these ongoing discussions.

This material may contain third-party opinions, none of the data and information on this webpage constitutes investment advice according to our Disclaimer. While we adhere to strict Editorial Integrity, this post may contain references to products from our partners.

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