Government sources forecast £15bn annual pension savings by 2040

BBC News described the address as Andy Burnham’s first Labour conference speech as prime minister. Burnham said the government would end the pensions triple lock and proposed funding a new national care service from pension savings from 2030. That date relates to funding for the care service, not to when the triple lock would end. [1]

Burnham linked his determination to create the service to the recent death of his father, saying he wanted to honour his memory. [1]

Burnham also announced a plan to lift the ban on public ownership of water companies and proposed a change to the UK’s electoral system. [1]

Update

Andy Burnham has set out how he would replace the state pension triple lock from April 2030, alongside plans for water-company ownership and electoral reform. [2]

In his Labour conference speech, the prime minister said he would keep the triple lock until the end of the current Parliament. Under his proposed formula, the state pension would then rise each year by inflation or 2.5%, whichever is higher. It would receive additional increases in some years if needed to keep pace with average worker earnings. Burnham said the change would generate significant savings to help fund a National Care Service in England. [2]

Burnham also proposed legislation later this year to repeal what he called a ban on public ownership of water companies. He described a 10-year path towards a different water system, but made no explicit commitment to renationalise the companies. [2]

On electoral reform, Burnham announced a national commission and said Labour would enter the next election with a manifesto commitment to change the voting system. [2]

Update

Government sources forecast savings of around £15bn a year by 2040 from changing the UK state pension’s triple lock, BBC economics editor Faisal Islam reported on 29 September. Under Prime Minister Andy Burnham’s plan, annual pension increases would follow whichever is higher: inflation or 2.5%. Average earnings growth would no longer set the yearly rise, and MPs would have to vote on the change.