# The Pensions Increase (Review) Order 2021, Article 3: Pension increase: annual rate and lump sums


(1) This article applies to an official pension if—
(a) a qualifying condition is satisfied; or
(b) the pension is—
(i) a derivative pension;
(ii) a substituted pension; or
(iii) a relevant injury pension.
(2) In relation to any period on or after 12th April 2021, the pension authority may increase the annual rate of the pension—
(a) for a pension which began before 6th April 2020, by 0.5 per cent;
(b) for a pension which began on or after 6th April 2020, by 0.5 per cent multiplied by—
A12 where A is the number of complete months in the period between the beginning date of the pension and 12th April 2021.
(3) In relation to a lump sum which is payable on or after 6th April 2020 but before 12th April 2021, the pension authority may increase the lump sum by 0.5 per cent multiplied by—
A12 where A is the number of complete months in the period between the beginning date for the lump sum (or, if later, 6th April 2020) and the date on which it becomes payable.

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Source: https://www.legislation.gov.uk/uksi/2021/275/article/3 (the official version)
Page: https://openlegislation.uk/pensions-increase-review-order-2021/article-3
Contains public sector information licensed under the Open Government Licence v3.0. Source: legislation.gov.uk, The National Archives.