Pension increase for 2022.

[andyP]

With the time approaching and with the rapidly increasing cost of living rises does anyone know the % increase on this years pension?

[RobertT]

It's the rate of inflation, either CPI or RPI, in the previous September!

For section A/B members CPI is used, which was 3.1%.
For section C it's RPI, which was 4.9%.

[fly-catchers]

As I reach 65 next year am I right in assuming that my pension earnt from 1988 (when I started) to 1997 will change from RPI (capped 5%) to CPI (capped 3%) with the rest of the pension staying at RPI (capped 5%)?

[RobertT]

As I reach 65 next year am I right in assuming that my pension earnt from 1988 (when I started) to 1997 will change from RPI (capped 5%) to CPI (capped 3%) with the rest of the pension staying at RPI (capped 5%)?

I assume you're referring to the Guaranteed Minimum Pension(GMP)?

My personal reading of the government consultation on how GMP's for public service pension schemes(which the RMSPS is) will be indexed, is that there will not be a reduction. Although it's so full of jargon, to be honest I'm not 100% sure.

If there are any effects on your GMP indexation it seems that would be from state pension age, which I assume will be 66 for you.

The results of that consultation are here.

[fly-catchers]

Yes its GMP I am referring to. On the RMSPS web site where it shows how much a pension increases it does refer to GMP. And in their examples does show both CPI (capped 3%) and RPI (capped 5%) in the make up of the pension. Still it won't be so long before I see whether it does have an impact or not!