Additional increase of 1.25 percentage points to pensions worth up to three IAS proposed by the PS will benefit 90% of retirees. Remaining amounts will be increased in line with inflation.
More than 90% of retirees will receive increases above inflation in 2025 through the pension update calculation formula and the predictable approval of the PS proposal which adds 1.25 percentage points to the regular increase.
The data that allows you to calculate exactly what the increase in pensions will be in January 2025 they will only be known on the 29th this month, when the National Statistics Institute releases the value of Gross Domestic Product (GDP) growth in the third quarter of this year and inflation (still only a quick estimate) for November.
It is based on these two indicators (economic growth and average inflation in the last 12 months without housing) that the increase in the Social Support Index (IAS) and also in pensions.
Before these data are known, the deputies of the Budget, Finance and Public Administration Committee vote in particular on the PS proposal that assigns a additional increase of 1.25 percentage points to pensions worth up to three IAS and which is part of the range of proposals to change the State Budget for 2025 (OE2025).
This PS proposal, whose vote is scheduled for today, and the formula for regularly updating pensions pave the way for more than 90% of pensioners see their retirement increase above inflation forecast for next year and which is 2.3%.
According to data from the Ministry of Labor, Solidarity and Social Security, there are 2,736,460 pensions worth up to two IASwhich, in accordance with the calculation formula provided for by law, have guaranteed an increase in line with inflation plus an additional 0.5 percentage points, which means — taking into account the available information — that they should be updated by approximately 2.5%.
Pensions between two and up to six IAS are increased in line with inflation. In this batch, according to the same data from the Ministry of Labor sent to Lusa, there are 248,784 pensions.
These data do not indicate how many of these almost 250 thousand pensions are worth up to three IAS, but if the PS proposal is approved, this means that the retirements of up to two IAS will increase by around 3.8% in 2025while the increase in values between two and three IAS will be around 3.25%.
From this level of the three IAS, the formula contained in the law applies, which means that pensions between four and up to six IAS will advance by around 2%.
Retirements between six and up to 12 IAS, whose universe totals 25,087, must be updated by around 1.75%.
There are 1,865 pensions above 12 IAS, with no update scheduled.
Taking as a reference the IAS in force in 2024 (505.26 euros), pensions starting at 6,111 gross euros are in this last level. In 2025, the IAS should increase by around 12 euros.
Despite this, as reported by , Luís Montenegro stated, this Monday, that there is no “conditions for making a permanent increase” retirements, because he is not “absolutely sure how the budget executions will go” during this mandate.
At a conference in Lisbon, the prime minister also criticized the opposition for accusing the government of “putting public accounts at risk” and that “it is distributing everything to everyone”, while it wants to “impose another around 300 million euros of permanent expenditure on an increase in the lowest pensions”.
Montenegro wants, in the same way, to “permanently increase the lowest pensions by an amount higher than the generalized increase”, but defends the repetition in 2025 of the one-off payment of a supplement to the lowest pensions, if there is budgetary margin.
