If you are receiving a pension from the Scheme, your pension will be increased annually, in line with increases in the cost of living.
With effect from April 2021, pensions in payment from the Scheme were increased by 0.5% on benefits accrued prior to 6 April 1997 in excess of Guaranteed Minimum Pension (GMP) and by 1.1% on benefits accrued on or after 6 April 1997 in excess of GMP. Benefits accrued in relation to post ’88 GMP were increased by 0.5%.
During the first year in which your pension is paid from the Scheme, a proportionate increase will be applied, equivalent to the proportion of a full year for which your pension has been in payment from the Scheme (So, for example, if your pension commenced on 1 December and had therefore been in payment for five months on 1 April when the first increase became due, it would increase by five-twelfths of the full year’s increase.) Thereafter your pension would receive the full year’s increase with effect from each subsequent 1 April.