Pensions in payment to members of Sections A and B of the BT Pension Scheme are already subject to annual increases by reference to changes in CPI.
Pensions in payment to members of Section C have been increased annually by reference to RPI to date. However, the Scheme's Rules provide for RPI to be replaced as an index in certain circumstances.
In 2017, BT asked the High Court to consider the correct interpretation of the Scheme Rules regarding BT’s ability to change from RPI to another index for the purpose of calculating pension increases paid in the future to section C members in the BT Pension Scheme. In January, 2018, the High Court determined that it is currently not possible to change from RPI to another index.
BT subsequently appealed that decision and asked the Court of Appeal to consider the issue. The Court of Appeal has now also confirmed that it is currently not possible to change from RPI to another index.
BT is considering the judgement in detail in order to decide next steps and the Trustee will provide further updates on the website as appropriate.
Please note that the relevant index for pension increases for members in Sections A and B of the BTPS remains unchanged as the Consumer Prices Index (CPI).