State pension set for 4% increase next year - ONS

The state pension increase is linked to the increase in average earnings in the three months to July this year.  Under the state pension triple lock, annual payments increase by the highest of average earnings in July, Consumer Prices Index inflation in September or 2.5%. As a result, the basic 'old' state pension will rise by £5.05 a week to £134.25, while the 'new' state pension will increase by £6.60 a week to £175.20.  AJ Bell senior analyst Tom Selby said retirees will enjoy a near 4% increase in their state pension payouts next year, which is more than double the rise in aver...