State pension will increase but concern the sum ‘doesn’t meet’ Britons’ financial needs

STATE pension payments are set to rise this month due to the Triple Lock Mechanism. However, there is concern about whether the increase will be enough for Britons.

State Pension payments provide important financial support to millions of retired people across the country. Overseen by the Department for Work and Pensions (DWP), the payments are likely to vary for individuals dependent on their National Insurance contributions.

It is worth noting, however, that those who were contracted out before April 6, 2016 may receive less than the full state pension amount.

State pension payments increase this year, guaranteed by a policy first introduced in 2010 and known as the Triple Lock Mechanism.

This sees the state pension sum rise by the highest of earnings, prices or 2.5 percent - and this year the increase is by 2.5 percent.

It is therefore the case the full new state pension will rise from £175.20 per week, to a new total of £179.60 per week.

However, despite the increase, there has been concern expressed about the policy this year.

State pension will increase but concern the sum 'doesn't meet' Britons' financial needs.

One expert has suggested this year's rise may not be enough to support retired people throughout their later years.

Emma Byron, Managing Director at Legal and General Retirement Solutions, commented on the matter.

She said: "The state pension will increase by 2.5 percent in April, providing an increase of a couple of hundred pounds a year, thanks to the assurances of the triple lock.

"However, with the revised state pension now at £179.60 a week for people on the new single tier, we know it still doesn't meet what most people will need in terms of a retirement income. -»