The main take away from Andy Burnham's Labour Party speech is that he will end the pensions triple lock, making it a double lock and using the savings to help fund adult social care reforms in England.
The triple lock means the state pension currently increases annually in line with inflation, average wage growth, or 2.5% - whichever is highest but the average wage growth is being dropped so now it's a rise rise every year in line with either inflation or 2.5%.
There has been a few conversations around the affordability of the UK State Pension recently and since it was introduced in 2010, it has been raised from £102.15 per week to £241.30 per week with the main increases coming in 2023/24 (10.1%), 2024/25 (8.5%) and 2025/26 (4.1%).
The State Pension has always been a bit of a hot potato because the over 65's are the group which vote the most and nobody wants to tick them off but as Burnham said, someone had to take the political hit and rip the plaster off although the 13.2 million pensioners currently in receipt may have something to say about it although stating that it is being down to fund free Social Care may dull their inevitable argument.
The age of retirement was raised from 65 to 66 and then to 67 with a rise to 68 penciled in to take place around 2045 but a common fallacy is that the National Insurance we currently pay go into a pot for our retirement whereas in reality our National Insurance goes to pay the pensions of current retirees and our pensions, when we get there, will be paid by those working and paying NI then.
As Social Care has been a sore point for Governments for years, it is not a bad thing that Burnham is looking to try and fix it and with one in 10 hospital beds occupied by someone who was medically fit enough to leave but were unable to due a lack of social care capacity, it is needed so we can only hope that the Pensioners, uppity at the best of times when it comes to their pensions, don't ruin it by voting for a Party that will undo all this good work.