PI factors are used to re-value a deferred pension before it’s put into payment. They are sometimes referred to as:
- annual uplift figures
- annual uprate figures
- deeming factors.
View the PI factors on the HM Treasury website.
A deferred pension is calculated using the pay you were receiving when you originally left the scheme.
After this calculation the pension needs to be re-valued to bring the pension up to date.
After being re-valued, the pension is put into payment at the re-valued amount. It will receive the appropriate yearly increases every April as applied by NHS Pensions.
PI factors are applied to estimates.
Deferred members taking early retirement
If you have deferred 1995 Section benefits and you decide to take early retirement before age 55, PI will not be applied as it only becomes payable at age 55.
View the Retirement Guide on our website for further information on PI.