In the year you leave the LGPS, there is an adjustment to the pension you built up from 1 April 2014 onwards.

It is revalued up to the date of leaving in line with the cost of living. Merseyside Pension Fund will apply the adjustment in April after you leave. If the cost of living has gone down in the Scheme year that you leave, it is possible that the value of the deferred pension in your pension account could reduce.

For the period after your date of leaving, your total deferred benefits (including the benefits you built up before 1 April 2014) will be increased in line with the cost of living. 

However, if the cost of living goes down your deferred benefits will not be reduced. Your pension will also continue to receive cost of living increases every year once it is paid to you.

You will see how much your deferred annual pension has increased since you left the LGPS on your Deferred Members' Annual Benefit Statement.

Pension increases after you draw your deferred benefits

Your pension will continue to receive cost of living increases every year once it is paid to you.

Your benefits will automatically be increased each year in line with the cost of living when:

• your benefits are paid on or after age 55
• or if your benefits are paid before age 55 because of ill health (and you are permanently incapacitated from engaging in any regular full-time employment)

Otherwise, if you draw your benefits before age 55 you will normally have to wait until your 55th birthday for your first cost of living increase. Your pension will then be increased to the level it would have been, had it been increased each year.