Prime Minister Andy Burnham’s announcement that he’s planning to replace the state pension triple lock with a form of ‘double lock’ has propelled pensions into the headlines again. And although workplace pensions are completely separate, the momentum creates a great opportunity for HR teams to improve employee understanding about retirement savings – and to clear up any confusion.
The announcement, made at the Labour party conference in in September, is an easy one for employers to ignore. Pensions specialists, crystal clear about the difference between state and workplace schemes, might think it’s largely irrelevant. In fact, there's a lot of confusion around pensions – the Money and Pensions Service estimates 22.5 million UK adults don't understand pensions well enough to make decisions about their retirement – so this news really matters.
According to the Office of National Statistics, around 82% of UK workers are members of a workplace pension scheme and government figures show that 90% of employees eligible for automatic enrolment are saving into one.
But taking part and understanding are not the same thing.
It's also fair to say that understanding isn't the same as being prepared.
Half of UK adults have no financial plan for retirement, and the Pensions Commission warns that 15 million people are undersaving. For many, there's a big gap between the retirement they're picturing and the one they're on track for. That gap is starkest for lower earners, who lean most heavily on the state pension.
Employees may well be having conversations about pensions this week – and that’s gold for communicators. What better time to harness the zeitgeist to reassure people and improve their understanding of pensions and retirement planning in general?
1. Clue up HR BPs and line managers
Casual conversations around the workplace may never even reach those who really know the answers. People might be too embarrassed to get in touch with pension providers or reward teams – or maybe they don’t even know where to turn to get that information. And you can’t answer questions you can’t hear.
The most difficult to hear are your lower-paid and frontline colleagues. They’re facing the double jeopardy of being the most likely to rely on the state pension and the least likely to see an intranet post or an all-staff email. The IoIC’s 2025 Index found around a quarter of UK employees are 'deeply disconnected' from organisational communications, mostly deskless workers without regular computer access.
That’s why popping out an email and taking a tea break isn’t going to cut the mustard on this one.
Your HR business partners and people managers may be able to tap into concerned conversations. Put them on the front foot by making sure they understand the nuts and bolts of the announcement. A simple briefing note is probably all they need, together with an encouragement to discuss it in team meetings or less formal settings.
2. Signpost resources
In situations like these, trusted sources of information are warmly welcomed. Barry from Security might claim to have his finger on the pulse of pensions and politics but when people’s futures are at stake, they generally want more robust information. Remind employees where they can find details about their workplace pension, contributions levels and any support available around retirement planning. Providing clarity in a timely way, when the canteen is buzzing with uncertainty, also helps build trust and empathy between the business and the workforce.
Remember – the people that need this reassurance most don’t have the intranet at their fingertips. Instead, consider break-room posters, payslip inserts, QR codes on table toppers and shift briefings to meet your people where they are.
3. Widen the conversation
As we’ve said, state pensions are the government’s responsibility, not yours. But employees don’t usually compartmentalise such topics into neat sections. When pension uncertainty is on everyone’s lips, people are looking for reassurance and clear explanations. And they know that a proportion of their monthly pay is spirited away into a pension pot somewhere. Employers are in a position to provide this clarity, simply and easily. And the very best will go further, using this moment to open a wider conversation about financial wellbeing. For someone juggling rent and energy bills, retirement can feel like a distant worry. Start where people are already focusing – we’re talking budgeting support, emergency savings, the benefits they already have – and the pension conversation follows more naturally. That's where the gap between expectation and reality starts to close.
If you’re not familiar with it (or would like to use this as your briefing note), here’s our guide to understanding the pension triple lock:
What is the triple lock?
It’s the mechanism used to work out the amount the UK state pension increases every year. Introduced in 2011, it guarantees that the state pension goes up according to which of these three criteria is the highest:
- Inflation
- Average earnings growth
- 2.5%
Why was it introduced?
By effectively benchmarking it against a trio of financial pointers, the aim was to prevent the value of the state pension from falling behind the cost of living and wages.
What has been announced?
Andy Burnham’s plan is to change the system from 2030, replacing this triple lock with what he described as a ‘double lock’. If the proposal goes ahead, state pension would continue to increase in line with either inflation or 2.5% (whichever is higher) but would no longer need to take earnings growth into account.
The government believes this change would help to fund a new National Care Service, while still keeping pace with rising costs.
What’s it likely to mean for people?
Importantly, nothing would change until 2030.
However, over the longer term, if average wages grow faster than inflation, pensioners could see their state pension payments rising more slowly than they would under the current system. But the pension rate would still retain that protection against inflation and would still increase by at least 2.5% each year.
Does this affect workplace pensions?
No. This is purely about the state pension, provided by the government. Workplace pensions, provided through employers, are unaffected.
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