Windfall for pensioners as inflation hits five year high

LTA will rise to £1,030,000

Hannah Godfrey
clock • 2 min read

UK pensioners are set to see their state pension payouts grow and lifetime allowance rise thanks to the highest inflation rate since April 2012, at 3%.

On Tuesday data from the Office for National Statistics showed inflation increased from 2.9% in August to 3% in September. This is good news for pensioners who will see their state pension grow by at least 3% thanks to the triple lock, which ensures it increases by the higher of growth in average earnings, the Consumer Price Index or 2.5%. Weekly state pension payouts will rise from £159.55 to £164.37, resulting in an annual income rise of £250, although those on the old basic state pension will only see an increase of £3.67 per week, or an annual increase of £191. Additionally, th...

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