Forum for former BBC staff

Forum for former BBC staff
http://www.ex-bbc.net/cgi-bin/yabb/YaBB.pl >> Pensions >> Negative RPI http://www.ex-bbc.net/cgi-bin/yabb/YaBB.pl?num=1227544398 Message started by poneill on Nov 24^th, 2008, 4:34pm

Title: Negative RPI
Post by poneill on Nov 24^th, 2008, 4:34pm

What happens if RPI goes negative next year, as some are predicting?

Pension decreases?

Title: Re: Negative RPI
Post by Forum Admin on Nov 30^th, 2008, 9:53am

Interesting question. No idea what the answer is.

I see that next month's (December's) RPI is expected to be around four per cent - and that's the one the 2009 increase will be based upon.

So the "negative RPI" scenario, which has been mentioned by the Governor of the Band of England, could trouble the Trustees this time next year.

Title: Re: Negative RPI
Post by poneill on Feb 17^th, 2009, 12:31pm

I E-Mailed the BBC Pension scheme and had this response:

Hi Patrick

If RPI reaches a negative amount, your pension would remain the same and not decrease.

Thanks

Jo Morgan
Service Line Co-ordinator, BBC People
BRITISH BROADCASTING CORPORATION

Title: Re: Negative RPI
Post by Amigo on Feb 17^th, 2009, 3:17pm

That's OK then.

Very reassuring.

Title: Re: Negative RPI
Post by Forum Admin on Feb 17^th, 2009, 6:25pm

Well done poneill!

What's not quite so encouraging is the information on the BBC Pensions website that the increase this year will be 0.9% (which is what the December RPI figure turned out to be).

Read their words here.