Treasury Minister Alex Allinson says ending the triple-lock on Manx pensions is the only alternative to running out of cash to pay them.
In the House of Keys this week, he faced questions over the future of pensions after revealing the proposed changes.
Under the current system, pensions rise each year by the highest out of 2.5 percent, inflation or the average wage rise - but in future that would be the highest out of two per cent or inflation.
Dr Allinson told MHKs without the change, the Island wouldn't be able to afford pensions in future:
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