Boost for OAPs as pension rises by £900 a year

THERE has been some good news for OAPs with the announcement that the state pension has gone up by 8.5 per cent.

This means pensioners receiving the new state pension will get an extra £900 a year. The full yearly basic state pension will also be £3700 more than in 2010, while the full rate of the new state pension will be over £11,500 a year.

Pension Credit, a passport benefit to provide additional support for low-income pensioners, will also see a significant rise, with the average award worth over £3900. The Department of Work and Pensions DWP is also increasing Local Housing Allowance rates, putting £800 back in the pockets of over 1.5 million recipients of Universal Credit or Housing Benefit.

Secretary of State for Work and Pensions, Mel Stride MP said: “Thanks to the Triple Lock and our efforts to drive down inflation, we are putting money back in the pockets of pensioners.

“This is only possible because we have stuck to our plan and our economy has turned a corner.

“This will make a meaningful difference to all those who rely on the state pension and ensure we continue to provide a safety net for those who need it most while making work pay wherever possible.”

Scottish Secretary Alister Jack added: "The UK government's decision to increase the state pension by 8.5 percent will make a meaningful difference to over a million pensioners across Scotland.

“With inflation continuing to fall and our commitment to the Triple Lock, pensioners in Scotland will see more cash in their pocket."

Those on Universal Credit will see a 6.7 percent increase, a rise which extends to other DWP benefits, such as Personal Independence Payment, Disability Living Allowance and Employment and Support Allowance, among others.

In cash terms this means an additional £470 for the 5.5 million households on Universal Credit with over 19 million families across Britain benefiting from uprating, including working parents who can now receive up to £20,800 a year in childcare support.

Alongside this, National Insurance contributions for employed and the self-employed have been cut by a third since the autumn and putting £900 back in the pockets of the average hard-working employee.

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