Overview

• The Organisation for Economic Cooperation and Development (OECD) has urged the UK to scrap the pension triple lock to free up cash and reduce the UK’s debt pile.
• The triple lock means the state pension rises by the highest of inflation, average earnings or 2.5% and is set to increase by 8.5% next year, from £10,600 to £11,502.
• The OECD suggests that reforming the triple lock and indexing pensions to an average of CPI and wage inflation could help the UK's finances by encouraging growth.
• The OECD's economists expect UK GDP to grow by just 0.5% this year and 0.7% in 2024, the weakest performance in the G7 aside from Germany.
• The OECD does not expect the Bank of England to cut rates at all next year, from the current level of 5.25%.