Article 11 Increases for inflation
Apart from any adjustment required by article 7, no other adjustment for inflation is to be made in determining the amount of any payment to be calculated in accordance with article 10(1) or (7).
But in determining the annual amount of the payments calculated in accordance with article 10(6) when a person attains the age of 55, the amount of the person’s final relevant earnings is adjusted for inflation.
The reference in paragraph (2) to adjusting for inflation the amount of the person’s final relevant earnings is to increasing it by the same amount as that by which an annual pension of an amount equal to those earnings would have been increased under the Pensions (Increase) Act 1971 when the person attained the age of 55 if the pension—
were eligible to be so increased, and
had come into payment on the first day after the person ceased to be in service as mentioned in article 8(3).
In determining the annual amount of the payments calculated in accordance with article 10(6) at any time after the person attains the age of 55, it is to be assumed that those payments—
are payments of a pension eligible to be increased under the Pensions (Increase) Act 1971, and
came into payment when the person attained the age of 55,
and those payments are to be increased accordingly.