How my pension increases

When you stopped earning benefits in the Scheme we worked out how much pension you had built up during the time you’d been a member. We call this a preserved pension because you keep it in the Scheme until you decide to take it.

Between the date you stopped earning benefits and the date you take your pension, the amount you had built up roughly increases by inflation up to certain limits that are set out in the Scheme Rules.

The actual increase that will apply may not be equal to the rise in inflation and it will depend on:

  • the period of time that you were a member of the Scheme and the limits in place
  • the type of pension you had built up (and if an increase applies)
  • the number of years that have passed when you take your pension and the rise in inflation over that period.

We break your pension down into the various parts that apply to you and then work out the increase.  It’s a complicated calculation, but if you’d like to know more we’ve provided a breakdown of each part that might apply to your pension below.

You can find out how much your pension was at the date you left the Scheme and how much it might be at your chosen retirement date by logging into your pension account on the Portal. If you haven’t already registered your pension account, you can watch our step-by-step guide, which takes you through how to register.

Increases to Guaranteed Minimum Pension

If you built up a pension before 6 April 1997, you’ve probably earned a Guaranteed Minimum Pension (GMP). It’s the minimum amount of pension the Trustee must pay you and it makes up a part of your total pension. The amount of increase applied depends on the date you left and the annual rate of increase set by the Government.

It increases from the date you stopped earning benefits to age 60 (women) and age 65 (men), or when you take your pension (whichever is earliest).

Increases to Scheme Pension

This is the amount of your total pension that’s left over after your GMP or, if you don’t have a GMP, your whole pension except anything transferred into the Scheme. 

It increases by inflation (the consumer price index) up to the limits described below. If you’d built up a pension before and after 6 April 2009, we break your pension up into two parts to work out the increase.

Period of time you’d built up a pension

Maximum increase allowed

Before 6 April 2009


After 6 April 2009


It increases up to these limits from the date you stopped earning benefits to when you take your pension.

Increases to Added Years Additional Voluntary Contributions

If you paid Added Years Additional Voluntary Contributions, the additional pension you’d built up will be treated as a Scheme Pension and increased in the same way.

Increases to Transferred in Benefits

If you transferred benefits into the Scheme, any increases are discretionary and either an increase has not been applied or it is less than the increase to your Scheme Pension.

If you purchased a fixed pension from a transfer of benefits into the Scheme, this part of your pension will not receive any increases.