Tony Blair Institute proposes Lifespan Fund to replace triple lock

The Tony Blair Institute has called for the abolition of the state pension's triple lock mechanism and its replacement with a new Lifespan Fund system, proposing the most significant overhaul of the pension since 1948.

In a new report, the think tank argues that the current state pension is outdated, rigid, and increasingly unaffordable amid Britain's aging population. The triple lock guarantees annual increases each April by the highest of average earnings growth, inflation, or 2.5 percent. Officials project the number of pensioners will grow from 12.6 million currently to nearly 19 million by 2070, driving state pension spending from 5 percent of GDP to 7.8 percent, an additional 85 billion pounds annually in today's terms.

The proposed Lifespan Fund would allow individuals to accumulate entitlements through National Insurance contributions from activities such as work, caring, studying, and other recognized efforts, building up to roughly 20 years of support equivalent to today's full state pension of 241.30 pounds weekly. Savers could access portions early for needs like unemployment, retraining, or family care, subject to safeguards including minimum later-life reserves and...