Question to the HM Treasury:

To ask the Chancellor of the Exchequer, if he will reconsider the decision to suspend the pension triple lock in the context of rising costs of living.

The Government is committed to ensuring that older people are able to live with the dignity and respect they deserve, and the State Pension is the foundation of state support for older people.

Decisions on the rates for State Pensions are made each Autumn as part of the Up-rating review by the Secretary of State for Work and Pensions. The Social Security (Up-rating of Benefits) Act 2021 temporarily suspended the earnings limb of the Triple Lock, as reported wage growth was statistically affected due to the effects of the pandemic in the labour market.

In 2022/23 State Pensions will be up-rated by 3.1%, using the consistent mechanism used each year to determine the rate of price increases for pensions and benefits. The Government remains committed to implementing the Triple Lock in the usual way in 2023/24 and for the remainder of the Parliament.

Over the last two years, the basic and new State Pension have increased by more than 5.6%. From April, the full yearly amount of the basic State Pension will be around £720 more in 2022/23 than if it had been up-rated by prices since 2010. This is a rise of over £2,300 in cash terms.

The Government recognises that many households, including pensioners, will need support to deal with rising living costs.

Pension Credit tops up retirement income and is a passport to support with housing costs, council tax, heating bills, and a free TV licence for those over 75. The Warm Home Discount Scheme provides those in receipt of Pension Credit Guarantee Credit a discount on energy bills. Other support available to pensioners includes Winter Fuel Payments and Cold Weather Payments.

Furthermore, we have set out a generous package of support, with a non-repayable £150 council tax rebate from April and a further reduction of £200 on energy bills in October. The £200 reduction in households’ energy bills from October will help people manage the increase in energy bills by spreading the increased costs over a few years, so they are more manageable for households.

Our package builds on the £12 billion of support over this financial year and next to ease cost of living pressures, with help targeted at working families, low-income households, and the most vulnerable, including pensioners.