Burnham vows to end triple lock to fund free social care - but rivals warn Labour will still need to put up taxes

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The Prime Minister has vowed to end the triple lock on pensions in a move the Government hopes will generate around £15 billion a year by the end of the 2030s.

He told delegates at the Labour Party conference today that "in April 2030, we will adjust it."

But the Conservatives and Reform have claimed the savings won't be enough to fund his plans and that tax rises are "inevitable".

Speaking from Liverpool, Burnham said that from 2030 the state pension will become a double lock, rising in line every year in line with prices or 2.5 per cent.

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Setting out proposals, Burnham said he plans to end the current approach of raising it in line with wages.

The triple lock, as it stands, means the state pension increases annually by inflation, average wage growth, or 2.5% - whichever is highest.

Mr Burnham said his plans would generate 'savings' that can be spent on his NHS-style social care system, which could cost up to £18 billion per year.

It comes as Culture Secretary Lisa Nandy appeared to acknowledge tax hikes might be required, telling LBC after Mr Burnham's speech that Burnham's social care reforms "could require additional funding".

Meanwhile Conservative leader Kemi Badenoch claimed that nothing in Mr Burnham's speech would address the long-term problems faced by Britain.

She said: “His proposal to change the triple lock is already falling apart under scrutiny, and it won’t generate enough savings to fund a nationalised care system for another two decades, which means more tax rises are inevitable.”

Reform UK leader Nigel Farage said his party supported maintaining the triple lock and said it would cut spending by slashing net zero budgets, foreign aid and migrant benefits.

Robert Jenrick, the Reform UK Treasury Spokesperson, accused Burnham of "picking on pensioners".

"But that’s not all,' he said. "Burnham said he was being honest but what he didn’t say was there was a gaping black hole in his numbers.

"Hitting pensioners will only get him 20% of what he needs. He’ll need £17 billion more in taxes.

"Coincidentally, £17bn is the same amount as levying a 10% death tax on every single person who dies. It’s a double whammy on pensioners."

Liberal Democrat leader Ed Davey said, in a letter addressed to Burnham and posted on X, that fixing social care is "too urgent to leave" until after the next election, and that he is "disappointed" by Burnham.

He also says it is "surely wrong" to scrap the triple lock to help fund proper social care, as the lock has been "an essential tool in the fight against pensioner poverty".

Zack Polanski, of the Green Party, says the PM's speech consisted of "half measures, reannouncements and tinkering".

"There is a gap between what the prime minister says, and what he’ll actually do," Polanski says, in comments reported by the Press Association.

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Burnham also announced that no-one who receives solely a state pension will have to pay income tax on it until 2030.

Income tax thresholds are frozen while pensions are rising — potentially dragging pensioners into the tax system for the first time as they will begin to earn over £12,570 from the state pension.

Announcing the policies he also paid tribute to his father Roy, who was in a care home before his death.

Mr Burnham said: “I won’t pretend some of this won’t be difficult. I accept I may pay a political price. But someone has to go through the pain barrier and rip the plaster off. It’s the leadership I promised you when I asked to be your leader.

“I’ll be honest, we promised in our manifesto to keep the triple lock unchanged throughout this Parliament. I will honour that promise. I will honour that promise and I will do more. That will take the state pension to a record high.

“From there, in April 2030, we will adjust it. The state pension will continue to rise every year at least by prices or 2.5%. And it will hold its value relative to earnings over time so that pensioners will always share in the rising prosperity of the nation.

“But this change will generate significant savings which we will use to build up our National Care Service. Some may not realise it but older people with nothing more than the state pension, or only a little more, can find themselves paying care changes today from that small income. Under my plan, this will no longer happen.”

He also said a “fundamental rethink” of the welfare system is needed to fund new opportunities for young people.

Too many young people are “drifting” towards the benefits system, he said.

He pointed to Alan Milburn’s review into the rising number of young people not in education, employment or training which is due imminently.

He reiterated Labour’s plans to change the education system with academic and technical pathways from 14 and offer work placements and apprenticeships, as well as reducing waiting times for young people needing mental health support.

“We will need a fundamental rethink of the welfare system to find the money for these opportunities upfront, and we will require young people to take up the help presented to them.”