The Consumer Prices Index, or CPI, is the official measure of inflation in the UK.
CPI is also used to increase the value of any LGPS deferred pensions every April. The adjustment ensures that the value of your pension account, adjusts with the cost of living.
For more information, including confirmation of the latest pension increases, please visit LGPS Member - How are pensions increases calculated?
In the year you leave the LGPS, the value of pension in your pension account (in respect of the pension built up from 1 April 2014 onwards ONLY) is revalued up to the date of leaving in line with the cost of living. This revaluation is applied on 1 April in line with HM Treasury Revaluation orders. If the cost of living has gone down in the year ending 30 September in the scheme year in which you leave, it is possible that the value of the deferred pension in your pension account could reduce.
For the period after your date of leaving, your total deferred benefits (including the benefits you built up before 1 April 2014) will be increased in line with the cost of living. However, if the cost of living goes down your deferred benefits will not be reduced. Your pension will also continue to receive cost of living increases every year once it is paid to you.
For more information, please view LGPS - FAQs