UK. Government confirms annual public service pension increase rate
The government has announced the rates of indexation and revaluation that will be applied to public service pensions in April 2022.
In a written statement, Chief Secretary to the Treasury, Simon Clarke, noted that public service pensions are required by law to increase annually in line with the state pension.
Public service pensions will therefore increase in line with the 3.1 per cent rise in Consumer Prices Index (CPI) on 11 April 2022, except for those that have been in payment for less than a year.
Separately, pensions in accrual in the career average revalued earnings public service pension schemes introduced in 2014 and 2015 are revalued annually in relation to either prices or earnings, depending on scheme rules.
The schemes that rely on a measure of prices will use the CPI of 3.1 per cent for the prices element of revaluation.
This applies to the civil service, the Local Government Pension Scheme, and the judiciary.
Public service schemes that rely on a measure of earnings will use the figure of 4.1 per cent for the earnings element of revaluation, which applies to firefighters and the armed forces.
The revaluation figure for the police stands at 4.35 per cent, at 4.6 per cent for the NHS and at 4.7 per cent for teachers.
Read more @Pensions Age
466 views
