NHS pension CPI increase when reaching 55

Toptek

My wife retired aged 52 and claimed her 95 scheme pension which hasn't, as we expected, received the annual CPI increase. Now she has just reached 55 and information states it will be applied, my question is, will the increase be from her 55th birthday or will it be next April?

She has applied for the 2015 pension, has received a letter stating what to expect but no offer of which scheme to claim those years. 

Silvertabby

The Armed Forces age 55 CPI increase is paid from the 55th birthday, not the following April.  I can't see the NHS being any different in that respect.  Hopefully someone with specific NHS knowledge will pop up and confirm.

crv1963

NHS pension increase is always April. The inflation figure published in September is usually used to define the increase. If taken early the increase doesn't apply until the April after the member reaches the normal retirement age. So likely the April following her 55th birthday.

Dazed_and_C0nfused

This is from an NHS fact sheet.

Sadly it doesn't, to me, give a definite answer as it could mean either,

A.  The Annual April increases start from the April after you are 55 or

B.  The day you reach age 55 your pension will be increased for the prior years increases.

Clear as mud.

Members with deferred benefits who left the Scheme after 30 March 2000 may also choose to retire early on a reduced pension. If you were an active member between 31 March 2000 and 5 April 2006 you may take your pension from age 50. If you were not an active member between these dates then you cannot take your pension until age 55. You may apply for early retirement by contacting us directly. Pensions that are paid early are increased with inflation each April, but this will only start once you reach age 55, at which point your pension will be increased to take account of changes since it was awarded.

Silvertabby

crv1963 said:

NHS pension increase is always April. The inflation figure published in September is usually used to define the increase. If taken early the increase doesn't apply until the April after the member reaches the normal retirement age. So likely the April following her 55th birthday.

That's the normal annual increase, not the same thing as the age 55 increase. 

thebullsback

I'm in the 95 scheme and my 2023 April increase was 10.1 due to the fact I am still under state pension age ?
This year 2024 however I only got the 3 increase even though I am still under state pension age ?

Sarahspangles

My understanding is that NHSBSA run all revaluations in one exercise so that changes for active pensioners can be rolled out in April. But they would take account of a pensioner turning 55 and becoming entitled to a part-year increase in the routine exercise.

german_keeper

Dazed_and_C0nfused said:

This is from an NHS fact sheet.

Sadly it doesn't, to me, give a definite answer as it could mean either,

A.  The Annual April increases start from the April after you are 55 or

B.  The day you reach age 55 your pension will be increased for the prior years increases.

Clear as mud.

Members with deferred benefits who left the Scheme after 30 March 2000 may also choose to retire early on a reduced pension. If you were an active member between 31 March 2000 and 5 April 2006 you may take your pension from age 50. If you were not an active member between these dates then you cannot take your pension until age 55. You may apply for early retirement by contacting us directly. Pensions that are paid early are increased with inflation each April, but this will only start once you reach age 55, at which point your pension will be increased to take account of changes since it was awarded.

I would interpret that to mean that the increases that applied to OP's wife from when she took the pension, ie for the last 2 or 3 years would be added on 55th birthday and from then on the relevant increases would be applied every April as per all other NHS pensioners. But I probably wouldn't wager a lot of money on that interpretation.

Flugelhorn

thebullsback said:

I'm in the 95 scheme and my 2023 April increase was 10.1 due to the fact I am still under state pension age ?
This year 2024 however I only got the 3 increase even though I am still under state pension age ?

yes I got that too - took NHS pension aged 61 - it is the CPI increase

Toptek

Dazed_and_C0nfused said:

This is from an NHS fact sheet.

Sadly it doesn't, to me, give a definite answer as it could mean either,

A.  The Annual April increases start from the April after you are 55 or

B.  The day you reach age 55 your pension will be increased for the prior years increases.

Clear as mud.

Members with deferred benefits who left the Scheme after 30 March 2000 may also choose to retire early on a reduced pension. If you were an active member between 31 March 2000 and 5 April 2006 you may take your pension from age 50. If you were not an active member between these dates then you cannot take your pension until age 55. You may apply for early retirement by contacting us directly. Pensions that are paid early are increased with inflation each April, but this will only start once you reach age 55, at which point your pension will be increased to take account of changes since it was awarded.

Yes, clear as mud.. The end of November will be the first complete month of both 95 and 2015 scheme payments, as we know how much each is, I will update this thread and again in April if need be. 
Thanks for the input everyone. 

Toptek

I'd like to update this thread. My wife received a letter from pensions stating that the previous year's interest increases are now added to the pension and future payments are to increase by 18.09%. That is, from her birthday, not next April. 
Needless to say, she's quite happy with the increase.