Pensions will increase in 2025, but now that all this is settled, you will get a much smaller amount.

the next Increase pensions It is expected that Early 2025 (already with the pay slip due in January), but we must “forget” about Amounts Recognized in the past two years because it will reach Much less.

After two years of high inflation, caused in particular by the energy crisis, the situation has returned to normal. under control That’s why you will receive a Less increase.

In the past two years, pensions have increased by8.1% And 5.4%with increases that for example on a cheque of 2000 euros were equal to 160 H 108 eurosThese increases will not be repeated: inflation is no longer a concern, and the European Central Bank has even changed its monetary policy plans by starting to cut interest rates.

In the 2024 Economic and Financial Document,Inflation at 1.6%Which will inevitably have repercussions on the next revaluation by recognizing increases that will in some cases be almost irrelevant. Let’s think for example of a pension of 2,000 euros: after receiving approximately 270 euros of monthly increase over two years in 2025, you will only have to “settle” 32 euros total.

The good news is that this shift could at least open the door to a return to Original re-evaluation mechanism (The possibility that the Constitutional Court will rule against the latest cuts also helps), which is much more beneficial than the sixth band that Meloni introduced with the last two budget laws.

Low inflation, how to increase pensions

every year Pensions They come adequate for the cost of living Thanks to the tool known as The equationruled by Law No. 448 of 1998.

This is a very important protection for pensioners, as it ensures that the purchasing power of the check remains unchanged over the years. On the other hand, while salaries benefit from contract renewals, with proportional increases in line with inflation, this clearly cannot be the case for pensions: this is why Auto-edit Which taking into account the inflation that is checked every year goes to Increase the amount From the check.

However, over the years, governments have had a somewhat “controversial” relationship with pension revaluation. In fact, they are obliged each year to allocate the necessary resources to allow such a process, which – especially in periods when the funds allocated to the budget law are limited – has reduced the possibilities of intervention in other areas.

That is why there have been cases, especially during the economic crises of recent years or in any case when greater resources were needed to implement government programme measures, where The re-evaluation has been reviewed or even blocked.. To the point that the Constitutional Court had to intervene several times to ensure that pensioners had the right not to have their allowances reduced.

The last “reduction” of the revaluation took place in 2023 and then continued in 2024: in this case too there were economic reasons to justify the decision taken by the Meloni government. But Now it seems the situation has been resolved. That is why the increase in pensions in 2025 should be back to follow up. Original Revaluation Ruleswhich They deserve more money. compared to what might otherwise be recognized by “Meloni’s method“

How pension revaluation was reduced

In the 2023 budget law, the expenses due for pension revaluation were very high, also due to the unprecedented inflation rate, which is equal to8.1%.

Re-evaluate checks based on what has been determined by Law No. 448 of 1998 It would have required very high expenses. In detail, this system stipulates the following:

• For the part of the pension whose amount does not exceed 4 times the minimum payment, the revaluation is equal to 100% confirmed inflation rate;

• For the part between 4 and 5 times, it is al 90% Of the average;

• Finally, for the part that is greater than 5 times, it is al. 75% Of the average.

Therefore, a system similar to Irpef is used, where the amount is divided into different ranges and the relative revaluation rate is applied to each of them.

It is a particularly useful system, especially in periods of high inflation, although for pensions exceeding 4 times the minimum payment, it only guarantees a fixed amount of money. Partial recovery Of purchasing power.

Apply it with inflation8.1%as well as from 5.4% As was revealed the following year, this was not possible without abandoning other interventions. But it was also necessary to support households’ purchasing power, for example through measures such as Reduce contributionas well as facing the increase in energy prices.

For this reason, a mechanism has been introduced that determines the expected revaluation rate for the relevant income category. It is applied to the full amount.. This is already punishable. Then some must be added. Lower percentages Compared to what is stipulated in the aforementioned law.

Therefore, the result of the interventions implemented first in the 2023 Budget Law and then in 2024 is the following:

And in 2025?

The question to ask is What will happen in 2025?Meloni’s government will have to decide whether or not to return to the traditional revaluation system. Extend discounts Implement it in these two years.

But in reality, There doesn’t seem to be any other reasons. To continue the most severe mechanism. Especially since the inflation rate will be much lower: as expected it should be present.1.6%according to estimates from the latest economic and financial document, making the revaluation more sustainable.

Also because it must be remembered that on the occasions when it was consulted, the Constitutional Court has determined that revaluation reductions Cannot be repeated For no reason. Which is why everything seems to point to a return to the old (or new, depending on your perspective) rules of revaluation.

Which would be remarkable. Advantage for pensionersBecause – as we have had occasion to explain – they will belong in this way. more money However, compared to that expected from the “downgrade” revaluation. Much less Compared to what was filtered in the last two years.

To learn more about the numbers, you can click here and check out our in-depth article.