LONDON (Reuters) - Britain’s Chancellor of the Exchequer Philip Hammond declined on Friday to say if the government would commit to raise old-age pensions by a minimum of 2.5 percent each year after June’s election.
Asked if his Conservative party’s new manifesto would retain an existing commitment to raise pensions by the highest rate out of inflation, wage growth or a flat 2.5 percent, Hammond said poverty among pensioners was less of a problem than when his party came to power in 2010.
“We fixed that problem. Pensioners are now less likely than the population in general to be in poverty. As to what we will put in our manifesto, that is just something you will have to wait and see,” Hammond told the BBC during a trip to Washington.
Prime Minister Theresa May earlier on Friday also declined to commit to raise pensions by as much as before.
Reporting by David Milliken; editing by Michael Holden