State pension triple lock: Some pensioners already miss out on increase of amount | Personal Finance | Finance

It means that the payment increases by whichever is the highest out of the average percentage growth in wages in Great Britain, the percentage growth in prices in the UK as measured by the Consumer Prices Index (CPI), and 2.5 percent.

However, the likelihood of the triple lock mechanism in the future was called into question this week.

It came as leaked documents suggested the state pension triple lock could be axed and tax hikes imposed in an effort to cover the costs of the COVID-19 crisis.

According to The Daily Telegraph, a Treasury document estimates the UK’s deficit could reach £337billion this year due to the pandemic.

READ MORE: State pension age? You may be able to get council tax discount

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