The future of the triple lock, which increases the State Pension annually according to a formula involving earnings growth, inflation and a minimum rise of 2.5 per cent, faces renewed scrutiny over its long-term affordability.
At the Labour Party Conference last month, Prime Minister Andy Burnham promised to bring changes to the triple lock from April 2030 onward, seeing a rise each year by whichever is higher – inflation or 2.5 per cent
The automatic annual link to average earnings growth would be reworked, with the changes projected to save roughly £15 billion a year by 2040.
The government plans to use the savings to fund a new phased, free-at-the-point-of-need National Care Service in England.
A Government spokesman said: “Under this Government, net migration is down by 82 per cent from its 2023 peak. Only people who are in the UK legally can claim taxpayer-funded benefits, of which around half are in work.
“Last November, we set out proposals to reform settlement which will double the standard qualifying period to 10 years for most migrants, with shorter routes for those who contribute most to the UK.”
Under existing rules, foreign nationals may access Universal Credit, provided their immigration status grants them recourse to public funds.
These rules apply to refugees, individuals with EU settled status, and those who have obtained indefinite leave to remain.
Leave a Reply