The state pension will increase by 10.1% - but retirees have been issued a warning.
Delivering the autumn statement, Jeremy Hunt said the Government will fulfil its pledge to protect the triple lock, meaning that the state pension will increase in line with inflation.
The full new state pension is currently £185.15 per week - so a 10.1% increase would push that figure up to £203.85. For those on the full, old basic state pension, who reached state pension age before April 2016, the increase means a weekly rise from £141.85 to £156.20.
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Autumn statement documents said: "The state pension will be uprated by inflation, in line with the commitment to the triple lock. The standard minimum income guarantee in pension credit will also increase in line with inflation from April 2023 (rather than in line with average earnings growth).
"This will ensure pensioners on the lowest incomes are protected from inflation and do not lose some of their state pension increase in the pension credit means test."
The mechanism - a manifesto promise - guarantees that state pensions increase by September's inflation figure, wages or 2.5%, whichever is higher. Consumer Prices Index (CPI) inflation rose by 10.1% in September.
But Helen Morrissey, a senior pensions and retirement analyst at Hargreaves Lansdown reminded pensioners the increase will only come in April.
She said: "After weeks of speculation about whether the triple lock would return next year many pensioners will be viewing today's news with a sigh of relief.
"However, it's also worth saying that this increase will only come into effect from April so there is a tough winter ahead and the Chancellor has been forthright in saying that times will be difficult for everyone.
"The reinstatement of the triple lock after its suspension last year will cool some of the discussion around its long-term viability for a while, but with a review of state pension age due to be published soon, now is the time to carry out a comprehensive review of the state pension to ensure it best helps those who need it most, both now and into the future."
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