First briefing, December 2020 – RPI Reform

Following the Spending Review speech last week, the Government released the response to the RPI reform consultation. This briefing provides a summary of the position and its implications.

What was announced:

• The chancellor will not consent to RPI being reformed before 2030
• The UK Statistics Authority confirmed that its preference for reforming RPI is to align with CPIH from February 2030
• The government also confirmed there will be no compensation for holders of index-linked gilts

As a result, RPI looks more certain to be aligned with CPIH from 2030 but concerns about it occurring before then have been allayed.

First Actuarial case studies

Usdaw

Trade union Usdaw selected First Actuarial to transform its scheme administration, resulting in improved quality and time-cost savings.

Southern Co-op

First Actuarial's fiduciary management consultants guided the trustees of Southern Co-op through their provider review, delivering fee savings.

Oil and Gas Industry

Oil and gas company DB scheme wind-up resulted in generous transfers for members and £3m surplus for employer, with First Actuarial’s help.