Boris Johnson Has ‘No Plans’ to Scrap Key U.K. Pension Pledge
British Prime Minister Boris Johnson has “no plans” to abolish a politically sensitive election pledge he made to the U.K.’s pensioners, despite fears among government officials that the policy could be at risk in the pandemic fallout.
Officials are aware that the pensions “triple lock,” promised by the last three Conservative prime ministers as a guarantee that retirement incomes will keep rising, may have to be reviewed, a person familiar with the matter said.
Johnson’s spokesman played down the idea that a policy change was being lined up. “These are unique and challenging economic circumstances and we cannot hide from that. There are no plans to abolish the triple lock and we will always stand by pensioners,” the spokesman said.
A Treasury official also insisted no decision had been taken, and rejected suggestions that Chancellor of the Exchequer Rishi Sunak was preparing to drop the promise.
But the virus has left a question mark over the guarantee to raise the state pension every year by the annual growth in average earnings, inflation, or 2.5% — whichever is highest. That stems from the effect, first highlighted a week ago, that furloughing millions of workers and then returning them to work is expected to have on earnings.
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