Find out about the latest Pensions Increase and other key updates you need to know.
Public service pensions are increased annually by the same percentage as State Additional Pensions (the State Earnings Related Pension and the State Second Pension).
It’s applied in April and is based on the increase in the Consumer Prices Index (CPI) in the 12 months to September of the previous year. The Pensions Increase to be applied is 3.1%, which will take effect from 11 April.
Increases may be proportioned if you took retirement benefits during the Scheme year and may be lower if you've a Guaranteed Minimum Pension and your State Pension Age was before 6 April 2016. This is because increases above 3% are paid by the State via increases to your State pension.
The government has recently brought in legislation so that public service pension schemes can now start the draft and consultation process for their own amending regulations. These amendments will allow schemes to apply the remedy to address the discrimination caused by the way that the reformed career average schemes were introduced in April 2015. Find out more about if you're affected with our short video.
For the latest on Transitional Protection please see the Scheme Changes section of the website.
If you return to pensionable employment within the Teachers’ Pension Scheme, even if you decide not to make pension contributions, we need to know. This is because the Teachers’ Pensions regulations state that the combination of your pension and any contributable salary in the tax year you’re re-employed can’t exceed your index linked ‘salary of reference’. The salary of reference is the highest rate of salary used in the calculation of your average salary, indexed to the tax year of re-employment. Employers provide your service information to us monthly . This means you’ll only need to complete a Certificate of Re-employment if you’re notified by us.
If you’re informed that you need to complete a form, you can do this through My Pension Online. Failure to complete this form, if requested, could result in an overpayment of pension. Please note a Certificate of Re-Employment doesn’t apply if you’re in receipt of Phased, Early Retirement (Actuarially Adjusted) or career average benefits, unless you’re also in receipt of Age, Premature Retirement, Phased Final (Age) or ‘Additional Service After Retirement’ (ASAR) benefits based on final salary service. Read our factsheet for more information.