State pension to hit £13k a year in April 2027
Over 13 million UK pensioners to get a £489 annual boost from April 2027, pushing the full New State Pension above £13,000 for the first time.
More than 13 million State Pension recipients will see their weekly payments rise by 3.9% from April 2027, thanks to the Triple Lock mechanism, according to new data from the Office for National Statistics (ONS) [1]. The increase, based on average earnings growth from May to July, will raise the full New State Pension from £241.30 to £250.70 per week — a rise of nearly £500 annually, pushing the yearly total to £13,036 [2]. This marks the first time the full New State Pension exceeds £13,000 per year.
The Triple Lock ensures the pension increases by the highest of three measures: average earnings growth (3.9%), CPI inflation (3.5%), or a minimum of 2.5% [1]. This year, earnings growth prevailed. The full Basic State Pension will also rise, from £184.90 to £192.10 weekly, or £9,989 annually.
The Chancellor, John Healey, is expected to confirm the final figures at the Autumn Budget on October 28 [1]. However, a new tax threshold could be introduced to prevent pensioners with only state income from facing tax, though this remains unconfirmed [3]. Currently, those relying solely on the state pension are exempt from income tax, but the new annual figure of £13,036 exceeds the £12,570 personal allowance, meaning some may face a small tax liability unless the threshold is adjusted [2].
Prime Minister Andy Burnham has announced plans to replace the Triple Lock with a Double Lock from April 2030, linking increases only to inflation or 2.5%, aiming to save funds for a National Care Service [2]. This change depends on Labour or a like-minded party winning the next general election. Meanwhile, experts warn that while the rise is welcome, the state pension alone cannot sustain a comfortable lifestyle, urging individuals to boost private pension contributions [3].
The government has not yet confirmed whether the personal allowance will be raised to protect pensioners, though it has previously stated that state pensions should not be taxed if they are the sole income [3]. The story was first reported by Mirror and Daily Mail.
Sources
This article is based on reporting by the outlets below.
- Mirror: Full list of State Pension weekly payment amounts from April 2027
- Daily Mail: Full state pension will rise by nearly £500 next April under the triple lock
- The Independent: State pensioners to receive £500 triple lock boost in 2027
