Liberal Democrats in Cheshire West and Chester have welcomed the Government’s decision to increase the State Pension by £5.30 in April. The rise is a result of a new guarantee to increase the pension each year. The guarantee – a key Lib Dem election commitment which they brought into the Coalition – ensures the State Pension will rise by the rate of increase in average pay, the rate of inflation or by £2.50, whichever is the highest.
“Under the previous Conservative and Labour Governments, the State Pension fell in value compared to average pay,” said Mark Williams. “Liberal Democrats have put a stop to that. The State Pension is now guaranteed to rise at least in line with the average increase in earnings. And when that increase is low, as we have at the moment, we will increase it by at least the rate of inflation. And if inflation is low, we will increase it by at least £2.50. “Labour promised to do this in the 13 years they were in power, but never delivered on this commitment. Within 13 weeks of coming into Government, the Liberal Democrats carried out this key election commitment.” The rise in April will come on top of an increase in the State Pension of £4.50 that took place last year.