Pension increaase 2022/23

[windermeredave]

Hi everyone. Am I right in saying that the increase is the RPI figures for September that are released this Wednesday? I know this is a bit early but it drives me crazy that we never know until a few days before the first payment at the end of April.
Ideally I need to know the figure by the start of March for state benefit purposes.

[RobertT]

Yes the September inflation figures are the ones used for pension increases, and they are released in October.

If you're in section C, it's RPI. If you're in section A/B it'll be CPI.

[rogersh]

October 20th

[fly-catchers]

Is Section A/B pension increases in payment also capped at 5%? I know it is while it is deferred and your still working. When its RPI capped at 5%. But I have never seen any reference to capping when CPI in payment. While they always say Section C is capped.

[Hawkey99]

I think its

CPI 3.1%

RPI 4.9%


So some decent increases next year....

[windermeredave]

Sorry guys, I`m a bit lost, I think I`m section C, but would like it confirmed, I started November 1985 and retired Christmas 2016, can you confirm it by those figures?

Cheers.

[RobertT]

That's section B.

[Hawkey99]

If you have taken your NRA 60 and Section C and have left the company do you get CPI or RPI.


If you haven't taken your NRA 65 and are Section C and have left the company do you get CPI or RPI.


Many Thanks

[RobertT]

If you have taken your NRA 60 and Section C and have left the company do you get CPI or RPI.

If you haven't taken your NRA 65 and are Section C and have left the company do you get CPI or RPI.

Many Thanks

I believe section C members will get RPI increases on any pension that's been taken, but CPI on the pension that's deferred if no longer employed by RM.
But if you remain in RM employment, that would be RPI instead.

The increases for the DBCBS are the same whether you're still employed or not. Those are targetted to be in excess of CPI, with a maximum of 4% above CPI.

Further info can always be found on the RMPP and RMSPS websites.

There is the possibility that current terms could change once the RMPP closes completely and is replaced by the new collective scheme.

[fly-catchers]

You can see why the want to get rid of RPI and put everyone on CPI or CPIH!

[RobertT]

You can see why the want to get rid of RPI and put everyone on CPI or CPIH!

Yes, a higher inflation rate is attractive for DB scheme members because it means a decent increase in their pension. But that increase will apply to thousands of members and so will put more strain on the finances of the scheme.
The investments will have to work harder as a result!

Or else, in the case of publicly funded schemes like the RMSPS, cost the government/taxpayer more.

A change from RPI to CPIH is planned from 2030.

[Hawkey99]

I presume by deferred you mean any pension not take yet. (i.e. In my case its my NRA 65 having left RM)

[RobertT]

I presume by deferred you mean any pension not take yet. (i.e. In my case its my NRA 65 having left RM)

Yes, preserved is probably a better word for it.