How does the UK state pension compare with other countries?
The article examines the sustainability and fairness of the UK's state pension 'triple lock' system compared to other wealthy nations. It highlights that while the UK pension system is less generous than many OECD counterparts, the rising costs of the current policy have sparked debate over future reforms.
Why it matters
Pension policy is a critical economic issue that impacts the financial security of aging populations and the long-term fiscal health of the state.
Image source, 10000 hours Getty Images By Dharshini David Deputy economics editor Published 6 minutes ago Getting older is something few of us want to think about. Yet how we fund our later years, and how much we'll get, has been a hot topic.
The triple lock formula - state pensions increasing by the greatest of 2.5%, earnings growth, or inflation - means those benefits have risen far faster than the earnings of workers since its introduction in 2011.
But as housing costs have also been rising fast, pensioner poverty has actually increased slightly in the last decade.
Nevertheless, even if you take those costs into consideration, pensioners are less likely to be in relative poverty - that is, having to get by on less than 60% of the income of the typical household - than families with children or working-age people.
Also covering this story
One other newsroom covered this event. We read that version too.
Get smarter about the news
Sign up free for a feed built around what you actually care about, Dive Deeper research on any story, and the full text of every article.
Create free accountAlready have an account? Sign in