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The Government announced in the June 2010 Budget that their policy would be to use the consumer price index (CPI) instead of the retail price index (RPI) to uprate many benefits and pensions, including public service pensions. Both Houses of Parliament approved this policy decision.Calculating the figures in Table 2A of 'Public Service pensions: good pensions that last', based on an assumption of RPI as the uprating measure rather than CPI, produces the following estimates:<Table width="100%" summary="" cellspacing="3" cellpadding="3" border="0"><TR><TD>£</TD></TR><TR><TD></TD><TD>Final salary</TD><TD>Value of pension benefits from CARE with 1/60ths accrual</TD><TD>Equivalent pension pot</TD></TR><TR><TD>Nurse</TD><TD>34,200</TD><TD>22,800</TD><TD>650,000</TD></TR><TR><TD>Teacher</TD><TD>37,800</TD><TD>25,200</TD><TD>725,000</TD></TR><TR><TD>Civil Servant</TD><TD>29,800</TD><TD>24,300</TD><TD>700,000</TD></TR><TR><TD>L.G. Officer</TD><TD>21,500</TD><TD>17,500</TD><TD>500,000</TD></TR><TR><TD>Health Assistant</TD><TD>14,600</TD><TD>11,900</TD><TD>350,000</TD></TR><tfoot><TR><td>Note:</td></TR><TR><td>All data and assumptions except the uprating measure are the same as those used in</td></TR><TR><td>'Public Service pensions: good pensions that last'.</td></TR></tfoot></Table> |