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21 December 2017

September 2017 revaluation rate of CPI

HM Treasury confirmed that the rate of Consumer Price Index (CPI) for September 2017 was 3%.

Official confirmation is expected from the Treasury in February/March 2018, before the increase takes effect in April 2018. This would mean CARE pensions will increase by 3% on 1 April 2018. If you’re also receiving a pension or you’ve a deferred pension with EAPF, this is likely to increase by 3% on 9 April 2018.

The lifetime allowance (LTA) from 6 April 2018 will be linked to CPI, which means the LTA for 2018/19 will increase to £1,030,000.

In addition, the opening value for the 2018/19 Pension Input Amount (calculated for annual allowance (AA) purposes) will be revalued by 3%. For more information about LTA and AA, please read our ‘Tax Controls and Pension Savings’ factsheet.

Watch out for our official CPI online news update early next year!

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