The pension triple lock is a drain on the taxpayer

Jeremy Hunt’s promise that the Conservative manifesto will protect the ‘triple lock’ on the state pension is a desperate measure to appeal to the one group of the population whom the Conservatives feel they can rely on. But taxpayers will not be thanking him in a few years’ time. On the contrary, by keeping the triple lock – which increases state pensions by either the Consumer Prices Index (CPI), average earnings or 2.5 per cent, whichever is greatest – Hunt has abdicated any remaining fiscal responsibility and condemned the public finances to further ruin.

The triple lock is already costing taxpayers £10 billion a year. Since 2011/12 when the triple lock was introduced, the state pension has been uprated with inflation six times, average earnings three times and 2.5 per cent three times. Had it been increased by CPI every year it would now be worth £140.90 a week and if it had been increased by average earnings every year it would be worth £141.20