Older Britons are at risk of missing out on thousands of pounds worth of state pension payments next month despite the annual triple lock hike.
Female pensioners born before 1953 and male pensioners born before 1951 are set to miss out on up to £2,798 per year from April 2025.
The triple lock automatically raises state pension payouts each year by inflation, wage growth or a flat 2.5 per cent, whichever is highest.
This year, wage growth is 4.1 per cent, which will be used to calculate pension increases from April.
However, many people do not realise the pension system is split into two schemes depending on when you retired.
Those who reached retirement age before April 6, 2016 receive the old basic state pension. Anyone who reached pension age on or after that date receives the new state pension instead.
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Older Britons are at risk of a state pension shortfall
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Under the 4.1 per cent increase, those on the old state pension will see their weekly payments rise from £169.50 to £176.45.
This amounts to £4,411.25 annually for those receiving the full old state pension. Meanwhile, the full new state pension will increase from £221.20 to £230.25 per week.
This means new state pensioners will receive £11,973 over a year. The difference between the two schemes is a staggering £2,798 annually.
Both figures represent maximum amounts, requiring roughly 30 to 35 years of National Insurance contributions.
For those stuck on the old state pension, Pension Credit offers a valuable solution. This benefit tops up pension income if you currently receive less than about £218 per week.
Pension Credit will also increase in April, rising to £227.10 for a single person and £346.60 for a couple.
By claiming Pension Credit, a single person would receive £11,809.20 annually - just £163.80 less than someone on the full new state pension.
To apply, pensioners can call the Pension Service Helpline on 0800 991234. Analysts suggest the system needs reform to address the disparity between pension schemes.
Steven Cameron, the director for pensions at Aegon, said: "A fairer way might be to adapt the triple lock formula.
"Rather than increases each year being the highest of earnings growth, inflation or 2.5 per cent, some smoothing could be introduced over time."
He proposed ensuring pensioners receive inflation increases as a minimum, with additional uplifts if wage growth exceeds inflation over a three-year average.
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Labour's new pension minister has committed to the triple lock GETTY This approach would avoid "widely fluctuating outcomes" while ensuring pensioners "share in sustained increases in the nation's wealth."
Cameron also suggested reviewing the 2.5 per cent minimum in the Triple Lock, considering the focus on reducing inflation to two per cent.
He warned that while pensioners can take comfort from the government's commitment to the Triple Lock for this parliament, its long-term future remains uncertain.
"We'd call on the Government and politicians from all parties to step up, and rather vote scoring, seek a sustainable solution that's fair across the generations," he urged.
