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Burnham Signals Triple Lock Reform Could Help Fund Social Care
The Institute for Fiscal Studies says the state pension costs £154 billion this year, while reforming the lock could save up to £22 billion by 2030.
On Tuesday, Prime Minister Andy Burnham will outline plans for an NHS-style national care service at the Labour Party conference in Liverpool, suggesting the state pension triple lock should be reviewed in the next manifesto to help fund the £18 billion annual cost.
Burnham intends to state the triple lock 'does not work in its current form' as the government seeks fiscal leeway for social care reforms; critics argue the policy, which guarantees annual pension increases, is becoming an unsustainable burden for the Treasury.
Education Secretary Lucy Powell and Defence Secretary Wes Streeting reiterated that the government remains committed to the manifesto pledge, confirming no changes to the triple lock are planned during the current Parliament, which runs until 2029.
Unite union general secretary Sharon Graham warned the prime minister that scrapping the triple lock would be 'electoral suicide' and 'morally wrong,' urging the government to pursue wealth taxes instead of taking security away from pensioners receiving around £12,500 annually.
Institute for Fiscal Studies experts noted that maintaining the triple lock could add up to £40 billion to public spending by 2050, as Burnham pledged to have an 'honest conversation' with voters regarding difficult issues that Westminster has ignored for years.