RPI-linking to remain as ONS introduces new index

RPI will continue to be used for long-term indexation and index-linked bonds despite ONS concerns over its formulation.This means the decision should have little effect on scheme liabilities or assets. National statistician Jil Matheson said there was "significant value to users in maintaining the continuity of the existing RPI's long time series without major change". But she added that a new RPI-based index, to be known as RPIJ, was required because the current formulation does not meet international standards. RPIJ, will be based on the same basket of goods as RPI but will use a...