Uncategorized

Andy Burnham issued huge warning over state pension triple lock

Andy Burnham

Andy Burnham looks set to enter No 10 within weeks (Image: Getty)

Andy Burnham has been urged not to axe the “crucial” state pension triple lock. Campaigners fear the pensions safety net is at risk as it is believed advisers to the likely next PM think it should be scrapped.

Shadow Chancellor Sir Mel Stride said: “Pensioners have far less ability to improve their financial circumstances. They can’t simply take on another job, work additional hours, or increase their income.

“That’s why Andy Burnham must stand by pensioners, and why the Conservatives remain committed to the triple lock.”

Reform UK also wants Sir Keir Starmer‘s probable successor to keep the measure, which sees the state pension rise each year in line with the highest of average earnings growth, inflation or 2.5%.

Mr Burnham, who looks set to enter No10 within weeks, has said he will honour Labour’s manifesto pledge to keep the triple lock until the end of this parliament, but has not committed to it beyond that.

The Daily Express crusade Save Our Pension Triple Lock is urging all major parties to back the policy ahead of the next election, with a manifesto commitment.

Labour and the Tories both signed up to the guarantee at the last election after our campaigning.

But Reform Treasury spokesman Robert Jenrick claimed Labour was “plotting to get rid of” it and said: “It’s yet another reason why we need a general election.

“Reform UK will cut the waste on illegal migrants, net zero madness and welfare for those who don’t need it, so we can protect the dignity of pensioners who have worked hard and done the right thing their whole lives.”

Critics claim the policy, which was introduced in 2011, is unaffordable amid economic woes – and unfair on younger generations.

But Dennis Reed, director of campaigners Silver Voices, warned that ditching the triple lock would repeat the winter fuel payments fiasco when Sir Keir and his Chancellor Rachel Reeves cut the allowance from most OAPs before making a damaging U-turn.

He said: “Andy Burnham would be wise to ignore the weasel words of some of his advisers and stick to his campaign pledge of support- Andy ing the triple lock. There is an unrepresentative, but organised, chorus from anti-pensioner commentators urging Burnham to reassure the markets by scrapping the triple lock in the next parliament.

“This has all the hallmarks of the first Labour misstep, within a few weeks of taking office, of scrapping winter fuel payments to show Labour’s commitment to tackling the country’s economic malaise.

“We all know where that ended…a humiliating U-turn, loss of confidence in the Chancellor and a big contributory factor in Starmer’s downfall. Burnham’s honeymoon will be very short indeed if he is persuaded down that rabbit hole.”

The newly elected MP’s economic advisers include ex-Treasury minister Lord O’Neill, former Bank of England chief economist Andy Haldane and Richard Hughes, a onetime head of the Office for Budget Responsibility.

They believe it is a “no-brainer” to replace the triple lock with a more affordable alternative.

Ahead of Mr Burnham’s return to Parliament, Lord O’Neill said he would need to have some “very clear and credible fiscal rules” to reassure the financial markets.

Speaking before Mr Burnham’s return to Parliament, Lord O’Neill said he would need to have some “very clear and credible fiscal rules” to reassure the markets and suggested a series of measures, including abandoning the triple lock.

Meanwhile, Mr Haldane previously said the triple lock should face the axe to boost defence spending.

He said: “If there were a time to think what is the concession we make to fund the extra defence spending, I think you might well start with the triple lock and pensions.”

And when Mr Hughes was in charge of the fiscal watchdog he said that the public finances are on an “unsustainable” path and highlighted the triple lock.

Reform also claimed that Mr Burnham would be “worse” than Sir Keir on migration.

The former Mayor of Greater Manchester is said to be considering watering down “unfair” settlement reforms.

Under Home Secretary Shabana Mahmood’s plans, migrants would have to wait at least 10 years before they can apply for indefinite leave to remain in the UK.

But Mr Burnham is said to be worried about applying the rules “retrospectively” on those already in the UK, including the millions of foreign nationals who arrived in the post-Covid “BorisWave”.

This is despite fears of a fiscal time bomb, with Ms Mahmood warning many arrivals from 2021 to 2025 will likely need taxpayer support as they are low-skilled and low earners.

Reform claims the record influx may cost £622billion in NHS treatment, housing, benefits and social care, as spending far outstrips tax income.

Its home affairs spokesman Zia Yusuf said: “Andy Burnham will be, if it were even possible, worse than Keir Starmer.

“Labour have learned nothing. They remain hellbent on making settlement easier and keeping Britain’s borders wide open.

“Reform UK would abolish indefinite leave to remain, deport all illegal migrants and bring this farce to an end.”

Shadow Home Secretary Chris Philp said Ms Mahmood “must stand by her commitment”, adding: “Millions of low-wage or nowage economic migrants here already will otherwise get the right to stay forever. If they have not been working on high salaries then at the end of their temporary work visa they should not be allowed to stay forever but should leave.

“If Shabana Mahmood is serious about reducing immigration she must stand by her own promises.

“Otherwise she will just be another Labour politician pushed around by left-wing backbenchers.”

Mr Burnham was approached for comment.

LEAVE A RESPONSE

Your email address will not be published. Required fields are marked *