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The Railways Pension Scheme Order 1994
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Pension Increases
15B A pension shall be of a fixed yearly amount or subject to increases of not more than 5% per annum compound provided that no pension shall be increased in any year by more than the increase in the retail prices index.
Where GMP is payable that part of the GMP which is attributable to earnings for the tax year 1988—89 and subsequent tax years shall increase in each tax year by the percentage specified in any order made by the Secretary of State under section 109 of the Pensions Act (which is approximately equal to the percentage rise in the retail prices index in each year with a maximum of 3% per year compound).
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