Covid-19 likely to trigger triple lock's 2.5% fail-safe

On Wednesday (21 October) the CPI inflation announcement for September will confirm the triple lock state pension boost retirees can expect from April 2021. According to pension provider AJ Bell, with Covid-19 likely to keep inflation subdued and average earnings in the three months to July down 1%, it appears highly likely the 2.5% rule underpinning the triple lock will kick in. The triple lock guarantees the basic state pension will rise in line with the highest of earnings, inflation or 2.5%. If the 2.5% is confirmed on Wednesday, this would imply from April next year the ‘old' ...