Pension increases: annual rate and lump sums3.

(1)

This article applies to an official pension if—

(a)

a qualifying condition is satisfied; or

(b)

the pension is—

(i)

a derivative pension,

(ii)

a substituted pension or,

(iii)

a relevant injury pension.

(2)

In relation to any period on or after 9th April 2018, the pension authority may increase the annual rate7 of the pension—

(a)

for a pension which began before 10th April 2017, by 3 per cent;

(b)

for a pension which began on or after 10th April 2017, by 3 per cent multiplied by—

A12math

where A is the number of complete months in the period between the beginning date of the pension and 9th April 2018.

(3)

In relation to a lump sum which is payable on or after 10th April 2017 but before 9th April 2018, the pension authority may increase the lump sum by 3 per cent multiplied by—

A12math

where A is the number of complete months in the period between the beginning date for the lump sum (or, if later, 10th April 2017) and the date on which it became payable.