The Austrian government has announced that pensions will increase by approximately 4.5 to 4.7 percent in 2025, based on the expected inflation rate.

This adjustment aims to fully compensate around 2.3 million pensioners for the rising cost of living over the past year.

The average pension, currently at 1,694 euros, will rise by about 78 euros.

Additionally, the minimum pension will also see a similar increase, raising it from 1,217.96 euros to around 1,275 euros.

A cap will be placed on the highest pensions, and a protective clause for pension accounts will be extended for new retirees.

The final inflation figure will be confirmed in September, with the National Council set to approve the pension increase shortly thereafter.