Taxpayers will be forced to fork over an extra £1,200 over the next five years if the state pension triple lock remains in place, according to experts.
Research conducted by wealth management firm Quilter is sharing how the pledge will increase the tax burden for millions and potentially raise the pension age.
Under the triple lock, state pension payment rates go up annually by either the rate of inflation, average earnings or 2.5 per cent; whichever is greater.
Going into the last General Election, Prime Minister Keir Starmer promised to maintain this payment metric if the Labour Party won the keys to 10 Downing Street.
Based on figures from the Office for Budget Responsibility (OBR), the cost of the state pension came to £124billion for the 2023-24 tax year.
This expense is expected to balloon to £158billion by 2028-29, a staggering £34billion increase.
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Both political parties have promised to keep the triple lock in place if they win power PAAnalysis carried out by Quilter determined that this is the equivalent of £1,176 in extra tax for the 28.9 million working-age taxpayers in the UK.
Britons have already been forced to contend with the cost of living crisis and the highest tax burden since the Second World War.
Over the years, pension spending has jumped from two per cent of gross domestic product (GDP) in the early 1950s to more than seven per cent in 2024.
Britain has a growing ageing population in poor health with Baby Boomers, those born between 1946 and 1964, forecast to hike the pension bill even further.
Experts from the International Longevity Centre have claimed the state pension age will need to be raised to 71 to maintain the current ratio of workers to pensioners.
As it stands, the state pension is 66 and is forecast to rise to 67 by 2028 and to 68 by the mid-2040s.
John O’Connell, chief executive of the TaxPayers’ Alliance, implored the Government to address triple lock reform.
He said: “With the triple lock essentially guaranteeing the long-term unaffordability of the pension system, taxpayers are being continuously hammered to sustain something they will likely never receive themselves.
“If the new Government wants to fix public services while reducing the burden on working people, reforming the triple lock would be an excellent place to start.
Caroline Abrahams, the director of Age UK, added: “Not being able to claim your state pension until you are 67 or later is […] a pretty terrifying prospect for anyone in this age group who is out of work, with little hope of getting back in, or who has been forced to leave employment by ill-health or by having to take on caring responsibilities for a sick partner or parent.
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Britons have already been saddled with record high taxes
GETTY“In many ways, these people are the new precariat in our society and it’s crucial policymakers understand their plight and take action to relieve it.”
Earlier this year, pensioners were awarded an 8.5 per cent boost thanks to the triple lock which took the full, new payment to £221.20 a week.
For 2025, the Bank of England is predicting a four per cent rate hike to the state pension.
GB News has contacted the Treasury for comment.
