CPI

2019 was a busy year on many fronts, and pensions was no exception. Paul Kitson gives his top ten predictions for the pensions industry in 2020.

The UK’s consumer prices index (CPI) has fallen to its lowest level since November 2016, according to the Office for National Statistics (ONS).

The lifetime allowance will rise to £1,073,000 from next April as inflation in the year to September stands at 1.7%.

UK inflation unexpectedly rose above target in July to 2.1%, just 24 hours after wage growth hit an 11-year high of 3.9% and the employment rate reached a fresh record.

BT will not be able to swap the index used to uprate part of its pension scheme after the Supreme Court denied permission to appeal, closing all legal avenues.

De La Rue's defined benefit (DB) pension scheme gained £80.5m after swapping the index used to revalue benefits, but lost £0.5m to rectify discrepancies identified in the scheme's rules.

A rise in UK inflation back above the Bank of England's 2% target rate will not change the thinking of its Monetary Policy Committee with regards to interest rates, experts have said.

UK inflation unexpectedly remained below target for the third month in a row in March, as higher fuel prices were offset by the falling prices of food and computer games.

Inflation in the UK rose slightly in February to 1.9% on the back of higher food prices, according to the Office for National Statistics (ONS).

The Interserve Pension Scheme has recognised a £70.6m reduction in liabilities after swapping the index used to uprate benefits.