CPI

This week including a letter from Barnett Waddingham parter Adrian Waddingham

UK - The Local Government Pension Scheme (LGPS) should increase its retirement age to 66 and limit pensionable pay to £75,000 ($115,000) a year, the London Pensions Fund Authority (LPFA) said in its submission to the Public Service Pensions Commission....

More than half of scheme managers believe switching indexation of pension increases from RPI to CPI will help pension funds, an exclusive PP survey reveals.

The recent announcement that pension increases will be linked to CPI rather than RPI could leave future pensioners out of pocket. Helen Morrissey looks at whether this will be the case, and asks how the change needs to be managed

Linking pension payouts to the CPI instead of the RPI will force pensioners to raid their savings and investments, Schroders Investment Management claims.

Government is contemplating legislative action to loosen strict rules preventing more than half of schemes switching from RPI to CPI inflation increases, PP can reveal.

The advent of the coalition government has certainly ushered in frantic times for the pensions industry.

Member benefits will be compromised if the Consumer Prices Index is used instead of Retail Prices Index to measure price inflation, MetLife Assurance says.

The Department for Work and Pensions has issued a formal consultation on proposals to shift the inflation link for increases in PPF and FAS payments from the retail prices index (RPI) to the consumer prices index (CPI).

Employees who leave a company prior to retirement could be worst hit by the indexation switch from RPI to CPI, a pensions expert warns.