Plans to scrap the triple lock for anyone who has retired after April 2019 will go for Tynwald approval as part of next month’s Budget.

Under a proposed Manx pension guarantee, the state pension will rise annually from April this year by either the preceding September’s figure for CPI inflation or 2%, whichever is higher.

The majority of pensioners will be unaffected as they retired before the introduction of the Manx State Pension in 2019 and will continue to see their retirement pension increase in line with the UK and its ‘triple lock’ policy.

Under the triple lock, the state pension goes up each year by either 2.5%, inflation, or earnings growth - whichever is the highest figure.

Treasury Minister Dr Alex Allinson said the change was being driven by the need to preserve the National Insurance Fund for future generations.

Without intervention, the NI Fund - which currently stands at £1.09bn - will become exhausted in just over 20 years’ time, by 2047-48.

Pending Tynwald approval of next month’s Budget measures, the Manx State Pension, which is currently £241.50 a week, will increase by 2.2% (reflecting September 2024 Manx CPI inflation) to £246.75 a week from April 7. This equates to an increase in annual income from £12,558 to £12,831.

The retirement pension, for those who retired before 2019, will continue to rise each year in line with the UK’s ‘triple lock’ policy. It is currently £169.50 a week and will increase by 4.1% to £176.45 a week from 7 April 2025. This equates to an increase in annual income from £8,814 to £9,175.

Dr Allinson said: ‘By introducing the Manx pension guarantee, pensioners will benefit from the certainty of knowing that their income will rise each year to match changes in the cost of living’