1.139 The Government will ensure that the welfare system remains fair and affordable while protecting the most vulnerable in society. Recognising that the benefits system supports the poorest, most working age and disability benefits will be uprated in line with the CPI in 2012-13, an increase of 5.2 per cent.
1.140 The child element of Child Tax Credit will also be uprated in line with CPI, and will rise by £135 per year in 2012-13. Given this higher than expected increase, and the £180 above inflation increase in this element in 2011-12, the £110 above inflation increase that was planned for 2012-13 will not go ahead.
1.141 Recognising the additional needs of disabled people, the disability elements of tax credits will be uprated by CPI. However, to support fiscal consolidation, the Government will not uprate the couple and lone parent elements of the Working Tax Credit in 2012-13.
1.142 The Government confirms the basic State Pension will increase by the triple guarantee, as announced in the June 2010 Budget. A full basic State Pension will rise by £5.30 to £107.45 per week in April 2012. The full couple rate for those whose entitlement is based on their spouse's or civil partner's pension will rise by £8.50 to £171.85 per week.
1.143 To ensure that pensioners with the lowest incomes benefit from the triple guarantee, the standard minimum income guarantee in Pension Credit will increase by 3.9 per cent in April 2012 to £142.70 per week for single pensioners and £217.90 a week for pensioner couples. To limit the spread of means testing up the income distribution for pensioners, the Government will raise the threshold for Savings Credit in April 2012 to £111.10 for single pensioners and £177.20 for pensioner couples.