- Millions of pensioners to receive up to an additional £575 in
their State Pension this year.
- The Government's Triple Lock commitment means pensioners'
incomes will rise by up to £2,100 over this parliament.
- This year's uprating of State Pensions and working-age
benefits will help millions of people across the UK in the face
of cost-of-living pressures.
The Government has already delivered above-inflation increases
worth up to £395 in real terms over this Parliament. By its end,
pensioners' annual incomes are expected to rise by up to £2,100 –
boosting financial security for millions.
Pension Credit will also rise by 4.8% and be worth an average of
£4,300 a year, unlocking further support including help with
housing costs, council tax and free television licenses. Between
2026 and 2027, the government will provide a £6 billion boost to
spending on State Pensions and pensioner benefits.
The increases come into effect as the government takes wider
action to ease pressure on household finances, including raising
the National Living Wage, cutting an average of £150 from
household energy bills, lifting the two child limit and freezing
rail fares and prescription charges.
Work and Pensions Secretary 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 new State Pension by up to
£575 this coming year.
Minister for Pensions said:
After a lifetime of work and contribution, people deserve a
decent retirement. Raising the State Pensions faster than prices,
ensuring it is a pension they can rely on, is how we make that a
reality for millions.
In addition to the range of action being taken by government to
support families, most working-age benefits, and other benefits
for people below State Pension age, will also increase by 3.8%
helping millions of households.
This comes alongside action the Government is taking to
incentivise work and tackle ill-health, including boosting the
standard rate of Universal Credit by 6.2% - the first ever
permanent, above-inflation increase – and tackling perverse
incentives by introducing a lower Universal Credit health element
rate of £217.26 per month for new claimants, compared to the
higher rate of £429.80.
Additional information
- The majority of the new rates will apply from Monday 6 April
2025. Please see here for a full list of rising
benefits: Benefit and pension
rates 2026 to 2027 - GOV.UK
- The full rate of the new State Pension will increase by 4.8%
in line with the increase in average earnings from £230.25 to
£241.30 a week. The full basic State Pension will increase from
£176.45 to £184.90 a week.
- The Standard Minimum Guarantee in Pension Credit will
increase by 4.8% in line with the increase in average earnings.
From April, it will be £238.00 a week for a single pensioner and
£363.25 a week for a couple.
- Details of when the State Pension is paid can be found on
GOV.UK: The new State Pension -
GOV.UK
- Most working-age benefits and other benefits for people below
State Pension age will also increase by 3.8%; including Statutory
Payments such as Statutory Sick Pay and Statutory Maternity Pay
and the personal allowances of Income Support, Housing Benefit
and Jobseeker's Allowance.
- Universal Credit will be up-rated by September CPI plus an
additional 2.3%.
- The increased expenditure as a result of uprating in 2026/27
is estimated to be £11 billion. This includes £6 billion more to
be spent on State Pensions and pensioner benefits, £3 billion on
working-age benefits, and £2 billion on disability and carers
benefits.