State pensioners could see their ‘purchasing power’ weakened as inflation soars | Personal finance | Finance

Many pensioners were gutted to find out the triple lockdown would be suspended this year. In a jab at pockets, the government decided to temporarily lift the triple lockdown this year following distorted earnings data.

This meant a double-lock with a 3.1% increase was put in place instead of the inflation-matching 8% hike pensioners had been hoping for.

The triple lockdown is set to make a comeback, with Tory leadership favorite Liz Truss pledging to keep the policy if she becomes prime minister.

When his competitor Rishi Sunak was chancellor, he said he was in favor of returning politics to the status quo.

This despite backlash from those who said it was unfair to workers.

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He said: “Both candidates have pledged in the past to keep the triple lock on state pensions until the next general election.

“This grants an increase in the higher of consumer price inflation, national average increases in income or 2.5% each year.

“Inflation is already in double digits and could rise further before the crucial figure for September is announced in mid-October.

“Some workers may question the fairness of a 10% or more raise for retirees when they receive much lower pay increases.

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Many are hopeful this will materialize as it could help ease their cost of living pressures.

With inflation expected to reach at least 10%, this could mean the new full state pension will rise from £185.15 to £203.79 in April 2023.

In fact, with high prices expected to continue through 2023, retirees could see another double-digit increase the following year if inflation is still high the following September.