FAS - Pre 2009 Inflation Increases?

westv

With today's news that CPI is now 2.9%, I was just wondering when the FAS increases are calculated for pensions not yet in payment.
I know that pre 2009 service has increases limited to 5% but is that CPI or RPI?

xylophone

http://www.pensionprotectionfund.org.uk/FAS/howfasworks/Pages/HowFASworks.aspx

I would imagine that in common with other pensions and benefits, revaluation would be based on changes in the CPI in the 12-month period to 30 September.

atrixa

For pensions not yet in payment, any increases are capped at 5% under FAS (currently CPI for previous May). After retirement it's the lower of CPI and 2.5%, again CPI for previous May.

westv

atrixa wrote: »

After retirement it's the lower of CPI and 2.5%, again CPI for previous May.

Except for service prior to April 97.

westv

So a 3% increase this year then?

Silvertabby

So a 3% increase this year then? Posted by westv

Yes. I hope all the people who made such a drama about wanting 2.5% before the general election do the decent thing and donate the extra .5% to charity.