State Pension

[Caran]

I thought we were promised a 2.5% increase. I got my notification today and have only got 1.9%. Last year I got 2.75%. Is this another broken promise?

[ubasses]

Looking at Govt website, this years pension is £113.10. From April it is £115.95 which is an increase of 2.5%.

[factor-fiction]

Does your letter mention 1.9%? What were the ' before' and 'after' figures?

[Caran]

I got the £115.95 basic, but I have. Three other elements with my pension, these have only been increased by 1.12%. In previous years these were increased by the 2.5%.

[ubasses]

It is only the basic state pension that has the triple lock. I think last year inflation was 2.7% (based on Sept 2013) which is why the other elements received a higher increase. This year they will be affected by the lower inflation rate (1.2% Sept 2014)

[mikey4444]

Quote from the Telegraph Caran :::::

"The annual increase in the state pension is linked to whichever is the greatest of wage increases, September's CPI figures or a baseline of 2.5 per cent"

[Caran]

Thank you ubasses, I think that is the reason. Thank you all.

[Hopkirk]

It's a lot more than some of us in work have been getting.

[Caran]

Fair point Hopkirk.

[anneasquith]

no doubt hopkirk, but at least those in work have a salary .

[askyourgran]

Ok, but my Council Tax is set to rise 2%.

[factor-fiction]

Yes, some things have gone up 2%; some have gone up by more; but some prices have stayed the same or gone down. The CPI and RPI figures take account of all these things and the 1.2% part reflects this. The 2.75% element now seems quite good news for pensioners. Of course everyone experiences a different level of inflation/negative inflation depending on their expenditure (whether it be council tax or train fares which have gone up or milk, veg and petrol which have gone down).

[chaptazbru2]

Do you resent pensioners their small increase hopkirk ??

[boxtops]

I saw Hopkirk's comment as a factual comment, just that - nothing resentful about it.

[chaptazbru2]

I'm sure he can speak for himself !

[boxtops]

of course he can - just adding my comment as to how I'd read his post.

[angie55]

anneasquith
//but at least those in work have a salary//
Agreed, but the cost of living increases whilst some in work are not getting any pay rises. I work in local government and have had no pay rise for the last three years.

[chaptazbru2]

But I'm NOT interested in your comment !!

[boxtops]

Fair enough, just ignore it, then.

[FrogNog]

So what chaptazbru. Bostops has every right to leave it whether you are interested or not. How rude of you.

[FrogNog]

*Boxtops