Inflation and Pension Increases 2026
Under the Rules of the BBC Pension Scheme pension increases are based on the December Retail Prices Index (RPI) and Consumer Prices Index (CPI) figures, with increases paid from the following 1 April.
Old Benefits, New Benefits and CAB 2006 members have guaranteed pension increases linked to the rise in the RPI, subject to a cap – 10% for Old Benefits members, 5% for New Benefits members and 2.5% for CAB 2006 members.
CAB 2011 members also have guaranteed increases but linked to the rise in the CPI, and subject to a cap of 4%.
On 21 January 2026 the inflation figures for December 2025 were published by the Office for National Statistics. The rise in the RPI was 4.2% and the rise in the CPI) was 3.4%. The rise in CPIH was 3.6%.
For Old Benefits and New Benefits members, the cap was above the RPI and so they can expect a pension increase which matched the RPI of 4.2%. However, for CAB 2006 members the cap was below the RPI and so these members can expect to receive a pension increase of 2.5%. For CAB 2011 members the cap was above the CPI and so they can expect to receive a pension increase of 3.4%, which matched the rise in the CPI.
Pension increases for members who joined the Pension Scheme before 1 April 1992 will be based on the full pension before any part of it was exchanged for a tax-free cash sum.
No increase will be awarded on any previous pension exchanged for a higher, level pension because of the Pension Increase Exchange (PIE) exercise.
The BBC may decide to award an additional discretionary increase. The BBC and Trustees will jointly consider this, and if any discretionary increases are awarded, details will be published around April on the BBC My Pension website at: https://www.bbc.com/mypension/pensioners/
State Pension
Under current rules, the State pension is increased by the ‘triple lock’ which is the highest of average earnings growth, price inflation (CPI) in September, or a 2.5% minimum guarantee.
The average earnings growth in September 2025 was the higher figure and so the State pension will increase by 4.8% next April.
RPI/CPIH
From February 2030 the RPI will be aligned with the Consumer Prices Index, including owner occupiers’ housing costs (CPIH). The change will see RPI continue to be published as an index but bring the methods and data of CPIH into RPI.
