Opponents of the anti-poverty safeguard are told to ‘slink away in shame’ as hikes in hardship among pensioners are exposed
Pensioners can face a worrying future financially (Image: Getty)
Campaigners say opponents of the triple lock must “slink away in shame” now that a major report shatters the myth pensioners have “never had it so good”. A new analysis lays bare the scandal of enduring pensioner poverty with sharp increases among single pensioners. The number of divorced retirees has rocketed since the turn of the turn of the century and many face deprivation.
Charities say the landmark research led by former pensions minister Sir Steve Webb is proof the triple lock should not be ditched, despite sustained attacks from powerful voices on both the Left and the Right. The report has triggered alarm with its finding that “two thirds of single pensioners in poverty are women”. It claims that in England and Wales there are “now around 1.5 million divorced people in retirement” – “three times as many as in 2002”.
Sir Steve argues that earlier progress in tackling pensioner poverty across the UK has halted and there has been a general rise since 2012-13 – going up from 15.7% to 18.6% in 2023-24. He argues this has been “largely driven by an increase in poverty amongst single pensioners”.
Campaigners say it is “vital” pensioners are not denied the defence against poverty provided by the triple lock when so many already suffer hardship.
Sir Steve said: “Those who oppose the triple lock often give the impression that pensioners have ‘never had it so good’. But, for many, the truth is very different.”
He warned that “those who live alone are at highest risk,” adding: “The state pension is a vital foundation for millions of pensioners and it is essential that we do not let it fall in value.”
The triple lock ensures the state pension goes up by whatever is highest – inflation, wage increases or 2.5%.
Dennis Reed of Silver Voices is an ardent defender of the triple lock (Image: Jonathan Buckmaster)
Dennis Reed, of campaign group Silver Voices, said: “Those who continue to argue that the triple lock has solved pensioner poverty must now slink away in shame. This research must surely end the debate about the triple lock for the next few years. Any political party that goes into the next general election with a callous policy of reviewing or scrapping the triple lock will rue the day as millions of older voters jump ship to other parties.”
Sir Steve’s analysis with pensions experts LCP calculates that the poverty rate for single pensioners who have never married may have reached as many as three in 10 in 2023-24, up from 16.3% in 2012-13. For widows and widowers, it may have gone up from 21% to 26.1%; for divorced and separated people, the rate may have risen from 21.7% to 24.8%. Couples are generally better off, with the poverty rate calculated to have increased slightly from 12.7% to 13.9%.
Leading figures including Tories Sir Jeremy Hunt and Lord Gove have suggested the triple lock should go. Restore Britain’s Rupert Lowe has said the lock be replaced with a link to inflation. It has also come under attack from the Left-leaning Resolution Foundation and former Labour Work and Pensions Secretary Lord Hain.
But Caroline Abrahams, of Age UK, insisted that “pensioner poverty has not been defeated”. She said: “The figures in this report are a stark reminder that pensioner poverty is not a thing of the past. Behind every statistic is a real person worrying about whether they can afford to put the heating on or how to keep up with household bills… While we accept that the triple lock may not be needed forever, it is certainly needed now. Any serious discussion about its future must start with an honest recognition that the state pension still does not provide enough to live on securely, even when received in full.”
Morgan Vine, of Independent Age, agreed that while the triple lock is “not a perfect solution for keeping older people out of financial hardship, it is vital it remains in place for now”.
He said: “They need every penny that has been set aside to support them until a long-term solution can be found to ensure we can all afford to live well as we age.”
Steve Webb was pensions minister from 2010 to 2015 (Image: PA)
Shadow Chancellor Sir Mel Stride defended the triple lock but urged Labour to make cuts elsewhere, saying: “The Conservatives introduced the triple lock and we remain committed to it. Instead of taking money from people who have worked hard all their lives, we should be getting the welfare bill down by cutting benefits for those who don’t work at all. But like Starmer, Burnham lacks the backbone to do it. Only the Conservatives will cut the benefits bill while ensuring we support pensioners.”
Robert Jenrick – who is Nigel Farage’s choice to serve as Chancellor – said: “Reform UK is the party of alarm clock Britain, and today’s pensioners paid in for decades and deserve their reward. Pensioner poverty has been rising [and] it is particularly concerning that single pensioners, especially women, are being hit hardest. We must make sure those who have worked hard and paid into the system for decades are not left struggling in retirement. We’ll protect the triple lock and balance the books without making ordinary people pay the price.”
Sir Steve’s report suggests a number of reforms to tackle pensioner poverty, including improving the incentives for the higher earner – often a man – in a couple to pay into the pension of a lower earner; looking at pension sharing rights following the break-up of a long-term cohabiting relationship; and considering making “joint life” annuities a default, ensuring a surviving spouse or partner would continue to get a pension.
Rhys Taylor, a barrister from 36 Family, who specialises in pensions and divorce issues said: “With all the turmoil of a divorce it is vital that the often misunderstood long term value of pensions is not overlooked.”
The Government argues that once housing costs are taken into account pensioner poverty has fallen.
A spokesperson for the Department for Work and Pensions said: “We are determined to turn the tide on poverty after years of rising hardship, and recent statistics show pensioner poverty rates falling since 2021-22. Millions will see their yearly State Pension rise by up to £2,100 thanks to the triple lock.
“In addition, the Pensions Commission is examining how we can ensure secure retirements for tomorrow’s pensioners, while the Pension Schemes Act will bring about major reform, benefitting millions of workers to the tune of up to £29,000.”