A survey of 2,000 UK adults by independent price comparison website NerdWallet found that more than a third of people over State Pension age said the triple lock suspension made them less trustful of UK Government pension policy.
However, Thérèse Coffey, Secretary of State for Work and Pensions, confirmed last month that the rule will be honoured for the remainder of parliament.
From Monday, April 11, the State Pension will increase by 3.1% in line with the Consumer Price Index rate of inflation in September 2021, instead of the 8% increase that would have happened if the triple lock policy maintained the increase with average wage growth.
State Pension currently provides essential financial support for over 12.4 million older people across the UK, including 981,399 retirees living in Scotland.
The upcoming increase means that the basic State Pension will rise to £141.85 per week from £137.60 and the full new State Pension will go up to £185.15 from £179.60.
However, there’s a lot more to State Pension than just two types of payments.
Below is a full list of changes coming to Old Basic and Full New State Pension payments from next week.
New State Pension
You are able to claim the new State Pension if you’re:
- a man born on or after April 6, 1951
- a woman born on or after April 6, 1953
The earliest you can get the new State Pension is when you reach State Pension age - find yours here.
If you reached State Pension age before April 6, 2016, you will get the State Pension under the old rules instead.
New State Pension rates
- New State Pension full rate: £185.15
- Transitional rate below full rate: 3.0902%
- Protected payment: 3.10%
- Increments - own (based on deferred new State Pension): 3.10%
- Increments - inherited (based on deferred old State Pension): 3.10%
Old Basic State Pension
You can claim the basic State Pension if you’re:
- a man born before April 6, 1951
- a woman born before April 6, 1953
To get the basic State Pension you must have paid or been credited with National Insurance contributions.
Old Basic State Pension rates
- Category A or B basic pension: £141.85
- Category B (lower) basic pension - spouse or civil partner’s insurance: £85.00
- Category C or D - non-contributory: £85.00
Additional pension
- Additional pension: 3.10%
- Maximum additional pension (own and inherited): £185.90
Increments
- Basic pension: 3.10%
- Additional pension: 3.10%
- Graduated Retirement Benefit: 3.10%
- Inheritable lump sum: 3.10%
Contracted-out deduction
- Contracted-out deduction from AP in respect of pre-April 1988 contracted-out earnings: Nil
- Contracted-out deduction from AP in respect of contracted-out earnings from April 1988 to 1997: 3.00%
Graduated Retirement Benefit
- Graduated Retirement Benefit (unit): £0.1492
Increase of long term incapacity for age
- Increase of long term incapacity for age: 3.10%
Age 80 addition
- Addition at age 80: £0.25
Increase of long term incapacity for age
- Higher rate: £24.15
- Lower rate: £12.10
Invalidity Allowance (transitional) for State Pension recipients
- Higher rate: £24.15
- Middle rate: £15.50
- Lower rate: £7.75
To keep up to date with the latest pensions and benefits news, join our Money Saving Scotland Facebook group here, follow Record Money on Twitter here, or subscribe to our twice weekly newsletter here.
