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MPs approve £6.9bn hike in spending on pensions and benefits with retirees set to enjoy a £470 a year boost under the ‘triple lock’

by Abella
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MPs today approved an increase of £ 6.9 billion in spending on state pensions and benefits from April.

Orders supported by the Lower House include an increase of 4.1 percent in the state pension under the conditions of the 'Triple Lock'.

This ensures that payments increase in April in line with the highest out of average profit growth, inflation or 2.5 percent.

The increase before 2025/26 was linked to wages, which rose by 4.1 percent last year in the relevant period.

It means that from April the basic pension will increase from £ 169.50 a week to £ 176.45 – an increase of £ 361.40 per year to an annual £ 9.175.40.

At the same time, the complete new state pension will increase from £ 221.20 to £ 230.25 – an increase of £ 470.60 per year to an annual £ 11,973.

Most other benefit rates will increase by 1.7 percent from April, in accordance with inflation.

Work and pensions Minister Sir Stephen Timms told MPs this afternoon that Labor was 'fully committed to maintaining the pensions triple lock'.

MPs approve £6.9bn hike in spending on pensions and benefits with retirees set to enjoy a £470 a year boost under the ‘triple lock’

MPs today approved an increase of £ 6.9 billion in spending on state pensions and benefits from April

Orders supported by the Lower House include an increase of 4.1 percent to the state pension from April under the conditions of the 'Triple Lock'

Orders supported by the Lower House include an increase of 4.1 percent to the state pension from April under the conditions of the 'Triple Lock'

But Sir Stephen claimed that there was 'confusion' about the Tory position, after party leader Kemi Badenoch Recently suggested that she would look at resources when asked about the future of the triple lock.

During a phone in LBC last month, Mrs Badenoch was asked if she would look 'at' the triple lock.

She replied: 'We're going to look at resources testing. Means testing is something that we are not doing well here. '

Responding to Sir Stephen said shadow work and pensions Minister Danny Kruger: 'I think he is misunderstood or the position of our leader was clearly cited incorrectly.

“We are not looking at the cancellation of the triple lock, it is his colleague the new pensions Minister (Torsten Bell) who has been quoted very clearly and says that the triple lock is a stupid system and indefensible.”

Asked if he agreed with Tory Shadow Chancellor Mel Stride that the triple castle is' untenable ', Mr Kruger replied:' There are clear questions about sustainability in the long term of our pension system and National Insurance Fund.

'But I think he was talking about the very long term instead of the immediate situation in which we find ourselves.

“It is not the intention to view the triple lock at this stage on our banks anyway.”

On pension credit, Sir Stephen said that the standard minimum warranty would rise by 4.1 oer cents from £ 218.15 to £ 227.10 per week for a few pensioners and from £ 332.95 to £ 346.60 per week for couples.

Elsewhere, the Commons also approved motions to set various national insurance thresholds and to set up children's advantage and the reimbursement of the guardian.

Finance Minister James Murray said: “These regulations determine most rates and thresholds for contributions from the national insurance, which they cover at their 2024/25 levels for the tax year 2025/26.”

He added: “These regulations also provide a provision for a treasury fair, they extend the lighting of the national insurance contributions of the veterans employers and increase the rates for child benefit and the compensation of the guardians in accordance with the prices.”

Murray previously stated: 'The government had to make difficult decisions to determine public finances.

'One of the most difficult decisions we were confronted was to increase the number of employee insurance contributions and reduce the secondary threshold.

“Although those changes are the subject of a separate bill and not the regulations for us, they are the context in which our decision to maintain other targeted national insurance contributions are so important.”

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