DWP state pensions to rise by 4% Rachel Reeves confirms in Budget 2024

DWP state pensions will rise by 4 per cent from April 2025, Chancellor Rachel Reeves has confirmed in today’s Autumn Budget.

This means that millions of pensioners will receive higher state pension payments from April next year. The increase is due to the Triple Lock Promise, which Ms Reeves has promised to commit to.

Ms Reeves said: "I want to ensure that our pensioners are protected in their retirement."

From April 2025 pensioners will receive:

£230.05 a week - Flat-rate state pension for those who reached state pension age after April 2016

£176.28 a week - Basic state pension for those who reached state pension age before April 2016

What is the state pension?

The state pension is a payment made by the government every four weeks to people who have reached retirement age and have paid enough National Insurance contributions during their life.

What is the triple lock system?

The state pension increases each April in line with whichever of these measures is highest:

• inflation in the September of the previous year, using a measure called the Consumer Prices Index (CPI)
• the average increase in total wages across the UK for May to June of the previous year
• or 2.5%

The triple lock was introduced by the Conservative-Liberal Democrat coalition government in 2010 and was designed to ensure the value of the state pension was not overtaken by the increase in the cost of living or the incomes of working people.

Chancellor Reeves has confirmed that the Labour government is committed to the triple lock.