CASH BOOST: The state pension rate for 2026\/27 has been confirmed under the terms of the triple lock (Image: Getty) <\/p>\n
Millions of pensioners across the UK will see their state pension rise by more than \u00a3500 next year after the Government confirmed the latest increase under the triple lock<\/a>. From April 2026, the full new state pension<\/a> will rise by 4.7%. That’s an increase of \u00a3562, bringing the annual payment to \u00a312,535, or \u00a3241 per week.<\/p>\n The triple lock guarantees that pensions go up each year in line with whichever is highest out of inflation, average earnings or 2.5%. With wage growth currently at 4.7%, this figure will set next year\u2019s increase.<\/p>\n While the rise offers welcome relief to retirees facing rising living costs, experts warn that frozen tax thresholds mean many pensioners will lose out through ‘fiscal drag’, reports\u00a0Birmingham Live<\/a>.<\/p>\n MORE ON PENSIONS<\/p>\n A spokesperson for Spencer Churchill Claims Advice said: \u201cThat\u2019s a meaningful increase, especially for those relying heavily on the state pension to cover everyday expenses. But the rise also brings the state pension close<\/a> to the frozen personal tax allowance, meaning more retirees could end up paying income tax<\/a> on their pension alone.<\/p>\n “Pension rises look good on paper, but frozen personal allowances mean retirees don’t always feel the full benefit. This is called fiscal drag – where an increase in pension income simply pushes people into tax thresholds.”<\/p>\n They added: \u201cMany pensioners who only rely on the state pension will soon find themselves paying tax for the first time, while those with workplace or private pensions are already there.\u201d<\/p>\n The Government has committed to keeping the triple lock until the end of the current Parliament, but questions remain over whether it can be sustained in the long term.<\/p>\n READ NEXT<\/p>\n","protected":false},"excerpt":{"rendered":"CASH BOOST: The state pension rate for 2026\/27 has been confirmed under the terms of the triple lock…\n","protected":false},"author":2,"featured_media":176123,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[14],"tags":[84,4176,7106,5107,1447,4174,4175,2221,56,54,55],"class_list":["post-176122","post","type-post","status-publish","format-standard","has-post-thumbnail","category-personal-finance","tag-business","tag-finance","tag-national","tag-pension","tag-pensioners","tag-personal-finance","tag-personalfinance","tag-state-pension","tag-uk","tag-united-kingdom","tag-unitedkingdom"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/posts\/176122","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/comments?post=176122"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/posts\/176122\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/media\/176123"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/media?parent=176122"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/categories?post=176122"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/tags?post=176122"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}