Pension increases

Pensions in payment are increased annually each April by a cost of living increase up to a maximum of 5% a year. The increases to pensions in payment in recent years are listed below:

Date Increase
1.4.19 RPI 2.7% CPI 2.1%
1.4.18 RPI 4.1% CPI 3.0%
1.4.17 RPI 2.5% CPI 1.6%

An example of pension increases

Pension at age 65 £5,000
GMP included £1,000
Pre 88 GMP £300
Post 88 GMP £700
Inflation 4%

Before State Pension Age (SPA) – the entire pension is increased in line with inflation.

After SPA – increases are shared between UMSS and the State.

UMSS pays increases up to 5% a year on the pension in excess of the Guaranteed Minimum Pension (GMP), and the first 3% of inflation on the post 88 GMP.

The State is responsible for the full inflation increase on the pre 88 GMP and any inflation in excess of 3% on the post 88 GMP.

Starting UMSS pension £5,000
Pension in excess of the GMP (£5,000 - £1,000) x 4% £160
Post 88 GMP £700 x 3% £21
New UMSS pension £5,181
Increase to State Pension
Pre 88 GMP £300 x 4% £12
Post 88 GMP £700 x 1% £7
Total from UMSS and the State £5,200

Contact us

For more information about UMSS, contact us using one of the following:

0161 275 2043