OE2027: Government expects lower pensions to rise by 3.3% in 2027

The government plans a 3.3% increase in the lowest pensions for 2027, as stated by the Secretary of State for Social Security during a parliamentary hearing. This increase applies to pensions up to 2 IAS, which constitute 90% of all pensions. Pensions between 2 and 6 IAS will see a 2.79% rise, while those above 6 IAS will have a lower adjustment than inflation. The final pension values will be confirmed in mid-December. The proposed budget includes over 1 billion euros in permanent expenses for pensioners, with significant allocations for pension updates. The Secretary also noted the challenges posed by an aging population and the potential negative impact of lowering the retirement age.