The Conservatives and Labour have committed to maintaining the Triple Lock guarantee on State Pensions until 2030. It was recently reported by The Times that Secretary of State for Work and Pensions, Mel Stride MP, said the Triple Lock would “almost certainly” be in next year’s Conservative manifesto.
The Triple Lock determines the level of uprating for the State Pension and pays the highest between September’s Consumer Price Index (CPI) inflation rate, earnings growth, or 2.5 per cent. As reported by the Daily Record, the Secretary of State must decide whether to up-rate other benefits and by how much after completing his review of the increase in prices.
The Bank of England's current September CPI forecast is 7 per cent, which would see another bumper boost next April for people on the Basic and New State Pension over the 2024/25 financial year. This might also see disability benefits rise by the same uprating, but even an uplift of 2.5 per cent would give people on the maximum awards for Personal Independence Payment (PIP), Disability Living Allowance (DLA) or Child Disability Payment, receive over £708 every four-week pay period.
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Currently claimants for any of the disability benefits mentioned above receive between £26.90 and £172.75 each week in additional financial support from the Department for Work and Pensions (DWP). As the benefits are usually paid every four weeks, this amounts to between £107.60 and £691 every payment period.
An annual uprating of 2.5 per cent would see some of the country’s most vulnerable people receive between:
- £27.55 and £177.05 each week, or
- £110.20 or £708.20 every four-week pay period
An uprating of 7 per cent would see people receive between:
- £28.80 and £184.90 each week, or
- £115.20 or £739.60 every four-week pay period
Attendance Allowance
People over State Pension age claiming Attendance Allowance currently receive either £68.10 (lower rate) or £101.75 (higher rate) each week. As the benefit is usually paid every four weeks, this amounts to either £272.40 or £407 every payment period.
Attendance Allowance claimants would see their weekly payments increase to either £69.80 (lower rate) or £104.30 (higher rate) each week under a 2.5 per cent annual uprating. This is equivalent to £279.20 or £417.20 every four-week pay period.
An uprating of 7 per cent would see claimants receive either £72.90 (lower rate) or £108.90 (higher rate) each week. This is equivalent to £291.60 or £435.60 every four-week pay period.
There is no mobility component for Attendance Allowance. Below are estimations on how much PIP claimants could receive from next April if a 2.5 per cent or 7 per cent uprating is applied.
Current PIP payment rates 2023/24
The term ‘per month’ used in the figures below refers to the four-week pay period.
Daily living component
- Standard rate: £68.10
- Enhanced rate: £101.75
Mobility component
- Standard rate: £26.90
- Enhanced rate: £71.00
Weekly payments
- Minimum PIP per week: £26.90
- Maximum PIP per week: £172.75
Monthly payments
- Minimum PIP per month: £107.60
- Maximum PIP per month: £691
PIP and payment rates under 2.5 per cent Triple Lock
The term ‘per month’ used in the estimated calculations below indicates the four-week pay period.
Daily living component
- Standard rate: £69.80
- Enhanced rate: £104.30
Mobility component
- Standard rate: £27.55
- Enhanced rate: £72.75
Weekly payments
- Minimum PIP per week: £27.55
- Maximum PIP per week: £177.05
Monthly payments
- Minimum PIP per month: £110.20
- Maximum PIP per month: £708.20
PIP payment rates under 7 per cent Triple Lock
The term ‘per month’ used in the estimated calculations below indicates the four-week pay period.
Daily living component
- Standard rate: £72.90
- Enhanced rate: £108.90
Mobility component
- Standard rate: £28.80
- Enhanced rate: £76.00
Weekly payments
- Minimum PIP per week: £28.80
- Maximum PIP per week: £184.90
Monthly payments
- Minimum PIP per month: £115.20
- Maximum PIP per month: £739.60
The annual uprating for State Pensions and benefits is usually announced by the DWP in late November/early December. We will update this article when this information has been released.
