London Daily

Focus on the big picture.
Thursday, Oct 29, 2026

Rishi Sunak hints at suspension to pension triple lock

Rishi Sunak hints at suspension to pension triple lock

Chancellor refuses to say whether guarantee introduced in 2010 will be honoured this year


Rishi Sunak has given a broad hint that the government will temporarily break the pension triple lock this year in order to prevent the Treasury being landed with a £3bn uprating bill.

The chancellor said there was a need to be fair to taxpayers as well as pensioners in light of a forecast from the Whitehall spending watchdog – the Office for Budget Responsibility – that a post-lockdown surge in pay growth would result in the state pension going up by 8% next April.

The government pledged at the 2019 election to continue raising the state pension in line with average earnings, the annual inflation rate or 2.5% – whichever is higher.

But in a series of radio and TV interviews, Sunak refused to say whether the guarantee would be honoured this year.

“The triple lock is the government’s policy but I very much recognise people’s concerns,” he told BBC Breakfast.

“I think they are completely legitimate and fair concerns to raise. We want to make sure the decisions we make and the systems we have are fair, both for pensioners and for taxpayers.”

The pension triple lock was introduced by the coalition government in 2010 but for months the Treasury has been lobbying behind the scenes for a temporary suspension.

The OBR has said earnings growth will be artificially high this year because growth is picking up and wages were depressed this time last year by the restrictions imposed on the economy to limit the spread of the coronavirus. The loss of many lower-paid jobs has also had an impact, because those remaining in work are paid more.

Annual earnings growth was running at 5.6% in the three months to April and is on a rising trend. If the government decides to leave the pledge in place, pensions will be uprated using the earnings figure for July.

Sunak said the government must “wait for the actual numbers to be finalised”, which he said were currently “speculation”, before looking at the policy “properly at the appropriate time”.

After a year in which government borrowing hit a record peacetime high of more than £300bn, the chancellor has repeatedly said it is important to return the public finances to a more sustainable path.

A decision to break a manifesto commitment would require the agreement of Boris Johnson, who is aware that the triple lock is popular with pensioners, the majority of whom vote Conservative.

Sunak will argue, however, that a one-year suspension is politically defensible given the unusual circumstances and the need to fund other government priorities, such as the NHS and catchup funds for schools.

Final decisions will be made in the autumn in the government’s spending round, which will be formally launched by the chancellor later this month.

David Willetts, the president of the Resolution Foundation thinktank, said it was time to abandon the triple lock permanently.

“The Covid crisis has laid bare the design faults of the triple lock, with a severe jobs crisis last year inadvertently contributing to an unnecessary and unjustified 8% rise in the state pension next year.

“The chancellor should take the opportunity this autumn to replace the triple lock with a smoothed earnings link. This would mean the state pension would rise in line with the living standards of working-age people – a change that would be fair to all generations.”

Johnson did not play down rumours of the triple lock’s imminent demise, echoing Sunak’s words that he wanted increases to be fair to the recipients and the wider pool of taxpayers. “We’ve got to have fairness for pensioners and the taxpayers, but I think you’ll have to wait and see what the chancellor comes up with,” the prime minister said.

His spokesperson said the triple lock remained government policy, adding that the government “recognises the concerns about what that might mean but the numbers remain speculation and it’s wrong to make policy about speculation”.

Newsletter

Related Articles

0:00
0:00
Close
Water pollution remains high despite £5bn investment
Automotive Manufacturers Urge Government Action as High Energy Costs and Global Supply Chain Disruptions Threaten Production
Metropolitan Police Issue Formal Apology Following Inadvertent Release of Confidential Information During High-Profile Investigation
Scottish Finance Secretary Shona Robison Unveils Devolved Budget Highlighting Housing and Public Service Adjustments
Energy Regulator Office of Gas and Electricity Markets Prepares to Remove Household Gas Standing Charges Following Treasury Mandate
Treasury Confirms Reversal of Planned Cash Individual Savings Account Allowance Reduction Protecting Twenty Thousand Pound Limit
Office for Budget Responsibility Revisions Predict Moderate United Kingdom Economic Growth with Elevated Inflation Pressures
Chancellor John Healey Delivers First Autumn Budget in Parliament Highlighting Temporary Bank Surcharge and Cost-of-Living Support
Met Office Issues Extended Forecast Highlighting Stable High Pressure Weather Patterns Across the United Kingdom
Scottish Finance Secretary Shona Robison Outlines Changes to Tax Thresholds and Residential Property Levies in Edinburgh
Financial Markets and Government Bond Yields Remain Stable Following Muted Reaction to Autumn Budget Measures
Defence Committee Chair Tan Dhesi Criticizes Budget for Delaying Critical Defence Spending Decisions to Next Year
International Monetary Fund Forecasts United Kingdom Economic Growth at One Point Three Percent for Year
Office for Budget Responsibility Assesses Fiscal Headroom Reduced to Fifteen Billion Pounds Following Global Energy Shocks
Chancellor John Healey Delivers First Autumn Budget Introducing Household Energy Support and Bank Tax Hikes
Aberdeen City Council Co-Leader Faces Binding Vote Challenge as Local Councillors Launch High Court Legal Battle
Housebuilding Across Scotland Falls to Eleven-Year Low Despite Government Declarations of a Housing Emergency
Former Prime Minister Gordon Brown Organizes National Innovation Summit in Manchester to Boost Regional Competitiveness
UK Government Faces Mounting Criticism Over Lack of Environmental Consultation During Artificial Intelligence Datacentre Expansion Talks
Greggs Announces Closure of Four Major Manufacturing Facilities Across Britain Resulting in Seven Hundred Forty Job Losses
British Retail Consortium Warns That Cumulative Employment and Regulatory Costs Threaten High Street Price Stability
Lloyds Banking Group Chief Executive Charlie Nunn Warns That Increased Bank Taxes Could Deter Long-Term Economic Investment
Ipsos Polling Reveals Seven in Ten Britons Expect Personal Tax Increases Amid Deep Public Economic Pessimism
Chancellor John Healey Delivers First Autumn Budget in Parliament Amid Tight Fiscal Constraints and Slower Growth Forecasts
United Kingdom Finance Monthly Review Highlights Rising Long-Term Borrowing Costs and Persistent Energy Price Pressures Across British Markets
Royal Marines Pioneer Rapid Autonomous Drone Operations During Major High North Exercise Involving NATO Allies
House of Commons Justice Committee Urges Chancellor to Align Prison and Courts Reform Ambitions With Concrete Budgetary Resources
Government Investigates Rapid Artificial Intelligence Datacentre Expansion Strategy Following Scrutiny Over Power Grid Demands and Planning Backlogs
His Majesty's Inspectorate of Constabulary Warns Third-Party Supplier Breaches Threaten United Kingdom Police and Fire Service Data
Number of British Businesses in Financial Distress Reaches Highest Level in Two Decades Ahead of Fiscal Announcement
Chancellor John Healey Prepares Autumn Budget Amid Intense Market Scrutiny Over Fiscal Headroom and Spending Pressures
Education or Indoctrination? The Growing Debate Over Religious Participation in British Schools
Germany's Vanishing Shopfronts: The Silent Collapse of the Businesses That Built Its Cities
Northern Ireland Executive Reaches Agreement on Public Transport Modernization and Cross-Border Rail Infrastructure Funding
Department for Energy Security and Net Zero Approves New North Sea Carbon Capture and Storage Industrial Clusters
Office for National Statistics Reports Stabilization in Private Rental Growth Across Major English and Welsh Regional Cities
United Kingdom Automotive Manufacturing Output Rises Moderately as Electric Vehicle Assembly Lines Expand in the Midlands
Competition and Markets Authority Launches Formal Inquiry Into Cloud Computing Infrastructure and Artificial Intelligence Partnerships
Scottish Government Finalizes Emergency Budget Adjustments Following Multi-Year Public Sector Funding Shortfalls
National Health Service England Announces Major Emergency Care Overhaul to Alleviate Severe Winter Capacity Pressures
Chancellor Rachel Reeves Prepares Autumn Budget Amid Intensifying Scrutiny Over Public Spending and Fiscal Rules
Bank of England Signals Cautious Approach to Further Interest Rate Cuts as Persistent Wage Growth and Inflation Pressures Remain
Transport for London Unveils Expanded Zero-Emission Bus Fleet to Meet Capital Air Quality Targets
Higher Education Institutions Face Deepening Financial Strain Amid Declining International Student Enrolment
Automotive Industry Leaders Criticize Government Tax Policies and Urge Action on Retail Consumer Confidence
Environment Agency Issues Flood Alerts Across Scottish and English Waterways Following Heavy Rainfall
Independent Audit Highlights Persistent Security Vulnerabilities Across Legacy Government Digital Portals
Northern Ireland Political Leaders Clash Over Westminster Funding Allocations Ahead of Autumn Budget
Ethnic Minorities in England Face Significant Disparities in Routine Breast Cancer Diagnosis Rates
National Police Chiefs Report Alarming Surge in Domestic Abuse Cases Fuelled by Expanding Illegal Cocaine Market
×