Rishi Sunak could cut benefits and scrap the pensions triple lock next April after Downing Street refused to rule out the move.
In what would be yet another U-turn from the Tories, Sunak could refuse to raise the state pension by 10.1 percent inflation, despite the prime minister vowing to honour the pledge made by his party in their 2019 manifesto.
Just over a week ago, Liz Truss had promised to raise the state pension in line with inflation next April.
Raising pensions only by earnings instead of inflation would deprive people on the New State Pension of £443 a year.
The PM’s Press Secretary said he would “do what is right and compassionate” but would not give further details. “I’m not getting into speculation on what is going to happen,” she said.
“A lot of these things have to be discussed with the Prime Minister and the Chancellor I’m not going to speculate on what is and isn’t going to be in the Budget.
“I’m not going to comment on what decisions are going to be made. The PM’s only been in office for the last 24 hours.”
Lib Dem MP Wendy Chamberlain said: “This endless hokey cokey from the Conservatives is leaving pensioners and struggling families in a desperate limbo.”
The issue is set to be resolved at the November 17 Autumn Statement, the Mirror reports. This was due to take place on October 31 but was pushed back by the PM on Wednesday.
In their 2019 manifesto, the Tories promised to raise pensions by the triple lock. This means pensions are raised by whichever is highest – earnings, inflation, or 2.5 percent.
During his time as Chancellor, Sunak had scrapped the triple lock for a year because of abnormal earning figures due to the pandemic.
He then brought it back and promised pensions would rise by the triple lock in April 2023.
On Wednesday, Sunak already U-turned on one matter by reinstating the ban on fracking that had been lifted by his predecessor.
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