What's new on Dover Wealth Management?

This year investment insights

Over 12m people to benefit from state pension increase tomorrow

More than 12 million people will see their state pension rise by £575 a year from tomorrow. 05 April, 2026

More than 12 million people will see their state pension rise by £575 a year from tomorrow.

The triple lock guarantee means it increases every April by whichever is highest out of inflation, wage growth or 2.5%.

Monday's 4.8% rise - which is in line with average earnings growth - will take the full rate of the new state pension from £230.25 to £241.30 a week.

Meanwhile, the full basic state pension will go from £176.45 a week to £184.90.

The government said committing to the triple lock on pensions is helping to protect households against a cost of living squeeze.

Money blog: Six big tax changes coming into force

All of this comes as the Iran war causes global oil prices to surge, with a direct impact on motorists at the petrol pump.

Mark Kleinman blog | HSBC puts ex-Standard Chartered executive Meddings in frame as next chairman

M&S boss issues stark warning over worsening crime

Iran war: How one ship's journey underlines the battle for energy

But some critics, including the Institute for Fiscal Studies, have argued that the triple lock should be scrapped - and "a better approach is needed".

Last year, the thinktank had warned the generosity of this policy has a "substantial and growing impact on public finances", especially as the population ages.

The IFS had written: "The OBR estimates that spending on the state pension will rise by around £80bn in today's terms by the 2070s, and over half of this increase is projected to be due to the triple lock.

"But under a more volatile economic environment the triple lock could cost an extra 1.5% of national income - or £44bn in 2025 terms - on top of this."

Read more:
Here's all the bills and taxes rising this month

Work and Pensions Secretary Pat McFadden said: "I know global shocks, and the effects they have on our living costs, will be increasing anxiety for many households.

"This government will always protect our pensioners, and that's why we are raising the full rate of the new state pension by up to £575 this coming year."

Earlier this week, Reform UK joined other major British political parties in committing to keep the pension triple lock.

At a news conference on Thursday, its economics spokesperson Robert Jenrick said this would be achieved by cutting the benefits bill by billions of pounds.

Join Dover Wealth Management

Careers

Don’t just come to work.
Come to change.

Successful careers take collaboration. See who you’l work with, where you fit, what you’ll do and how you can reach your potential.

Careers