Kwarteng vows to keep the pensions triple lock
PENSIONERS are guaranteed a major boost to their state benefits next year, the Chancellor insisted last night.
Kwasi Kwarteng said the Government was ‘absolutely committed’ to the pensions triple lock amid fears it could be suspended again to save money. But he refused to say that increases to welfare payments for the unemployed would keep up with the soaring cost of living.
Meanwhile experts warned that his Treasury will have to slash billions of pounds from public services, similar to the cuts imposed in the austerity era of the last decade, to balance the books after his radical tax-cutting Budget.
Speaking during a visit to a business in Darlington yesterday, Mr Kwarteng said: ‘The PM has been absolutely committed to the triple lock and we are absolutely committed to maintaining it.’
But asked if benefits would also rise in line with inflation, he would only say: ‘It’s premature for me to come to a decision on that, but we are absolutely focused on making sure that the most vulnerable in our society are protected through what could be a challenge.’
His comments came after concerns were raised that the long-standing Conservative manifesto pledge – guaranteeing that the state pension rises each year to match whichever is highest out of inflation, earnings or 2.5 per cent – could be broken again next year.
Helen Morrissey, analyst at Hargreaves Lansdown, said pensioners are banking on ‘an inflationary increase to their state pension next year under the triple lock’, adding: ‘Many pensioners have been left struggling as the cost of energy and food has soared and their incomes have been unable to keep up.’