PPF Annual Increase

westv
westv Posts: 6,084 Forumite
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in Pensions, annuities & retirement planning
Just had my latest estimated pension statement from the PPF for pre April 1997 service (claiming from 2023). The increase is around £67 on last year ( £4,334). Increases are based on CPI.
Does that sound about right? Seems on the low side to me.
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Comments

  • westv
    westv Posts: 6,084 Forumite
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    I'm surprised nobody knows.
  • Deneb
    Deneb Posts: 420 Forumite
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    Well, I confess to knowing nothing about it, but intrigued by your question and after a bit of googling, it appears that for a deferred member (which I assume you are from your question) it is more complex than a simple CPI increase and involves calculation of revaluation periods and revaluation factors:

    http://www.pensionprotectionfund.org.uk/DocumentLibrary/Documents/PPF_Revaluation_Guidance.pdf

    Though as I say, I know nothing about it other than finding that document!
  • xylophone
    xylophone Posts: 44,387 Forumite
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    Do you have a GMP?

    Is it possible that the revaluation is not being applied to that portion of your pension?

    Have you rung the PPF to enquire?

    http://www.pensionprotectionfund.org.uk/Pages/ContactUs.aspx
  • westv
    westv Posts: 6,084 Forumite
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    Everything I've read before states that, prior to payment, deferred pensions for service prior to April 97 that were under the PPF increase by CPI or 5% (whichever the lower).
  • HappyHarry
    HappyHarry Posts: 1,588 Forumite
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    westv wrote: »
    Everything I've read before states that, prior to payment, deferred pensions for service prior to April 97 that were under the PPF increase by CPI or 5% (whichever the lower).

    I would expect that to be the case.

    Do you know what date they look at the CPI, and when the increase is applied?
    I am an Independent Financial Adviser. Any comments I make here are intended for information / discussion only. Nothing I post here should be construed as advice. If you are looking for individual financial advice, please contact a local Independent Financial Adviser.
  • xylophone
    xylophone Posts: 44,387 Forumite
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    You have statements from previous years?

    To which month in the year does the CPI relate?
  • westv
    westv Posts: 6,084 Forumite
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    The increase is around 1.54% but the CPI hasn't been that low at all this year. I'll ask them.
  • westv
    westv Posts: 6,084 Forumite
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    I've been able to dig out the following:

    01/10/14 £4,184
    01/10/17 £4,334
    06/07/18 £4,401
  • HappyHarry
    HappyHarry Posts: 1,588 Forumite
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    The increases seem to be lower than CPI.

    If you speak to them, please could you come back and let us know what they say?
    I am an Independent Financial Adviser. Any comments I make here are intended for information / discussion only. Nothing I post here should be construed as advice. If you are looking for individual financial advice, please contact a local Independent Financial Adviser.
  • westv
    westv Posts: 6,084 Forumite
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    I sent an email but haven't had an answer so far.
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