APS pensions that were in payment on 31 March 2019 and that usually receive Scheme increases each year in line with the Government’s Pensions Increase (Review) Orders (PIRO), will qualify for the 2019 Discretionary Increase payments.Close
You do not need to take any action. The Discretionary Increase will be backdated to 8 April 2019 and payment of any pension arrears due will be made with your pension payment for December 2019.Close
As the settlement has been approved, we expect to make payment of the arrears payable backdated to 6 April 2019 with your pension payment in December 2019. We will provide full details of the payments and individual statements to all eligible members when payment is made in December. The individual statements will show the new rate of pension from 8 April 2019 as well as the amount of any lump sum and arrears of pension due.Close
The settlement agreement between the APS Trustee and British Airways was subject to approval by the High Court. The Discretionary Increase could not be put into payment until this approval was granted. Approval was received on 11 November 2019 and we are making payments to all eligible pensioners in the first available pension payroll.Close
No. The payment of the Discretionary Increase will be backdated to 8 April 2019 as set out in the originally proposed settlement agreement.
This payment will include both the 1.7% “catch-up” Discretionary Increase and the 0.7% 2019 Discretionary Increase awarded from 8 April 2019 as set out in the settlement agreement.Close
The 2019 Discretionary Increases will be backdated to 8 April 2019 and will apply to the elements of your pension that normally receive increases under the Rules of the Scheme. Your increased 2019 pension will then be eligible for any future pension increases which become payable under Scheme Rules.
See also: Will all pensions receive Discretionary Increases?Close
If payment of your APS pension started before 8 April 2013 and all the elements of your pension are entitled to receive yearly increases under the Government’s Pensions Increase (Review) Orders (PIRO) each year, you will usually qualify for all of the 2019 Discretionary Increase payments.
Your actual increase payments may be lower than the full amount if:-
- Your pension payments began after 8 April 2013.
- Your pension includes a Guaranteed Minimum Pension (GMP).
- Your pension contains an element that receives a different level of increase under the Rules.
- Your pension includes an AVC annuity where increases depend on the type of annuity you bought. AVCs do not receive standard Scheme increases.