Graduated Retirement Benefits and Deferred State Pension increases in 2023?

uk1

Good Morning all .....

State pension increase looks like it may be around 9.9%'ish ... but would appreciate refresher on how these will probably increase in 2023?

Thanks in advance.

Dazed_and_C0nfused

You can see the full details of last year's increases here.

The basic and new State Pension get the triple lock but additional pension is restricted to CPI.  Although highly unlikely to be an issue this time around!

https://researchbriefings.files.parliament.uk/documents/CBP-9439/CBP-9439.pdf

uk1

Dazed_and_C0nfused said:

You can see the full details of last year's increases here.

The basic and new State Pension get the triple lock but additional pension is restricted to CPI.  Although highly unlikely to be an issue this time around!

https://researchbriefings.files.parliament.uk/documents/CBP-9439/CBP-9439.pdf

Many Thanks,

I can see that Additional State Pension  is increased by CPI but didn't find any mention of Graduated Retirement Benefits and Deferred State Pension increases

Is additional State Pension both GRP and Deferred?

I get dimmer as I get older it seems .....

Dazed_and_C0nfused

I think it's one and the same.

This is from a DWP document,

Graduated Retirement Benefit (GRB)

The amount of GRB you may get when you reach State Pension age will be based on how much you paid in graduated contributions.

You will have paid graduated contributions if, between April 1961 and April 1975, you:

• were over 18

• worked for an employer and paid Income Tax and NI through the ‘Pay as you Earn’ (PAYE) arrangements

• earned over £9 a week at that time.

In your statement we will have included any GRB you may get in your additional State Pension estimate - we have not shown the amount separately

https://assets.publishing.service.gov.uk › ...PDF

Your State Pension statement explained - GOV.UK

uk1

Dazed_and_C0nfused said:

I think it's one and the same.

This is from a DWP document,

Graduated Retirement Benefit (GRB)

The amount of GRB you may get when you reach State Pension age will be based on how much you paid in graduated contributions.

You will have paid graduated contributions if, between April 1961 and April 1975, you:

• were over 18

• worked for an employer and paid Income Tax and NI through the ‘Pay as you Earn’ (PAYE) arrangements

• earned over £9 a week at that time.

In your statement we will have included any GRB you may get in your additional State Pension estimate - we have not shown the amount separately

https://assets.publishing.service.gov.uk › ...PDF

Your State Pension statement explained - GOV.UK

Many thanks, yes I know what it is, but in your post I couldn't detect how increases are calculated for either Graduated Retirement Benefits or  Deferred State Pension increases

Thanks again.

Dazed_and_C0nfused

This is in the original document,

Additional State Pension (the old system)

The old State Pension system (for those who reached State Pension age before 6 April 2016) consists of two tiers: the triple-locked Basic State Pension (see pages 12-13) and the Additional State Pension, an earnings-related entitlement consisting of State Second Pension (S2P) or its predecessor the State Earnings-Related Pension Scheme (SERPS).

Unlike the Basic State Pension, the Additional State Pension is only indexed in line with CPI inflation. This means that Additional State Pension entitlements will increase by 3.1% in financial year 2022/23.

uk1

Dazed_and_C0nfused said:

This is in the original document,

Additional State Pension (the old system)

The old State Pension system (for those who reached State Pension age before 6 April 2016) consists of two tiers: the triple-locked Basic State Pension (see pages 12-13) and the Additional State Pension, an earnings-related entitlement consisting of State Second Pension (S2P) or its predecessor the State Earnings-Related Pension Scheme (SERPS).

Unlike the Basic State Pension, the Additional State Pension is only indexed in line with CPI inflation. This means that Additional State Pension entitlements will increase by 3.1% in financial year 2022/23.

Many thanks.

So "additional State Pension"  you believe includes GRP  AND Deferred State Pesnion however neither appear to be mentioned specifically in your extract.  I do not believe SERPS is GRP.  Normally these documents are extremely precise.  Hence my bewilderment

Dazed_and_C0nfused

You can (I think) see all that separate elements on page 11 of this document.

https://www.google.com/url?sa=t&source=web&rct=j&url=https://assets.publishing.service.gov.uk/government/uploads/system/uploads/attachment_data/file/1036433/benefit-and-pension-rates-2022-2023.pdf&ved=2ahUKEwiB7Nf6rtD6AhVKY8AKHT5FBoIQFnoECA0QAQ&usg=AOvVaw3q0QKVXE0LlYcEmfMf-JNV

uk1

Dazed_and_C0nfused said:

You can (I think) see all that separate elements on page 11 of this document.

https://www.google.com/url?sa=t&source=web&rct=j&url=https://assets.publishing.service.gov.uk/government/uploads/system/uploads/attachment_data/file/1036433/benefit-and-pension-rates-2022-2023.pdf&ved=2ahUKEwiB7Nf6rtD6AhVKY8AKHT5FBoIQFnoECA0QAQ&usg=AOvVaw3q0QKVXE0LlYcEmfMf-JNV

Thanks.

What I found was:

"Additional pension 0.50% 3.10%

Increments to:-Graduated Retirement Benefit (GRB) 0.50% 3.10%"

To me that implies and increase to GRB (GRP?) of CPI, but unless deferred is included in "additional" then I cannot find it.  My belief is that when stuff isn't specifically mentioned it isn't included!

Linton

"Extra" State Pension from deferring increases with cpi - see https://www.gov.uk/deferring-state-pension/what-you-get (towards the bottom of the page).

"Additional" State Pension from from pre-2016 SERPS also only increases with cpi see https://prospect.org.uk/article/basic-state-pension-and-additional-state-pension-for-anyone-reaching-state-pension-age-before-6-april-2016/ for example.

It would appear that GRB (Graduated Retirement Benefit) also increases with cpi though I cannot find a clear statement on this  -see https://www.thisismoney.co.uk/money/pensions/article-10378995/How-annual-state-pension-increases-worked-out.html

uk1

That is great ....  many thanks.

So double checking ... it seems in simple terms that all elements of the old pension will increase by around 9 or 10%  ?