The Society of Pension Professionals (SPP) has backed the Government’s proposed 3.25% fixed rate for Guaranteed Minimum Pension (GMP) revaluation from April 2027, while calling for an end to repeated consultations on what it describes as a routine, formulaic exercise.
This SPP response sets out its support for aligning the 2015 CARE scheme revaluation date of 1 April, with the start of the tax year (6 April) for the purposes of revaluing active members pensions.
This is because it will align the revaluation date with the tax year, simplify administration, improve consistency between tax and pension calculations, and remove an unnecessary misalignment in the current framework.
However, it will have administrative and communication implications and we therefore recommend its implementation be delayed until 2028/29.