![Pinterest](https://pinterest.com/pin/create/button/?url=https://uknews.evprotec.com/rishi-sunak-urged-to-drop-triple-lock-to-spread-economic-burden-across-all-ages/&media=https://uknews.evprotec.com/wp-content/uploads/2022/10/TELEMMGLPICT000314101637_trans_NvBQzQNjv4BqpVlberWd9EgFPZtcLiMQf0Rf_Wk3V23H2268P_XkPxc.jpeg&description=Rishi Sunak should ditch the pensions triple-lock and instead link the state pension to wage growth, the Prime Minister's former think tank has urged. Mr Sunak has refused to rule out scrapping the triple-lock, as the Government prepares to fill a £35bn blackhole ahead of the Chancellor's fiscal statement on November 17. Policy Exchange, the Tory-leaning think tank where Mr Sunak worked before he became an MP, called on the Government to replace the 'extremely costly' measure with a system that pegs the state pension to earnings. This would save £16bn for the public purse over the remainder of this Parliament, it argued. However, Nadim Zahawi, the new Tory party chairman, has hinted strongly that the triple lock will remain. He told Sky News on Thursday morning: "Both the Prime Minister and the Chancellor are very much aware, and I am going to state the obvious here, pensioners are uniquely unable to work to add to their income." The triple lock was a key 2019 Tory election manifesto promise that guarantees the state pension will rise each year by whichever is the highest of three measures – the Consumer Prices Index, wage growth, or a 2.5pc benchmark. But the Government should now consider getting rid of this and replacing it with a system that pegs the state pension to earnings, in order to avoid cutting funding to essential public services, Policy Exchange warned in a report titled 'Balancing the Books'. It said: 'Given the savings that need to be made in the current economic context, it would be unfair to impose the burden solely on those in the labour market.' Scrapping the triple lock and instead setting the state pension as a proportion of earnings would save the Government £5bn in 2023-24 and nearly £11bn in 2024-25, Policy Exchange calculated. State pension increases have outstripped wage growth, meaning that people who are in work are more likely to be on absolute low income than pensioners. Since April 2010, the basic state pension for a single person h){kind=link}
The new Prime Minister has refused to rule out scrapping the triple-lock
Rishi Sunak should ditch the pensions triple-lock and instead link the state pension to wage growth, the Prime Minister’s former think tank has urged.
Mr Sunak has refused to rule out scrapping the triple-lock, as the Government prepares to fill a £35bn blackhole ahead of the Chancellor’s fiscal statement on November 17.
Policy Exchange, the Tory-leaning think tank where Mr Sunak worked before he became an MP, called on the Government to replace the “extremely costly” measure with a system that pegs the state pension to earnings.
This would save £16bn for the public purse over the remainder of this Parliament, it argued.