We are pleased to announce a cost-of-living adjustment (COLA) of 2.0 per cent effective January 1, 2026. The COLA is equal to the percentage change between the average Canadian consumer price index (CPI) from November 2024 to October 2025 and the average CPI from November 2023 to October 2024.

Pension peace of mind

Full COLAs have been granted in all but two of the past 25 years. While not guaranteed, COLAs help maintain the purchasing power of your pension by keeping pace with inflation. Once COLAs are granted, they become part of your basic pension.

If you retired partway through 2025, your COLA will be pro-rated based on the number of months in 2025 you received a pension.

What is the consumer price index?

The CPI is generated by Statistics Canada and measures the cost of about 640 goods and services every month. The CPI change is the average price difference of these goods and services, measured year over year. The change in CPI averaged over the period from November 2024 to October 2025 compared to the change in CPI averaged over the previous 12 months was an increase of 2.2 per cent.

A firm foundation for future COLAs

As we announced in the summer 2025 edition of Pension Life, the recent valuation showed that the plan’s inflation adjustment account (IAA) continues to be healthy and sustainable. The strong financial position of the IAA is partially attributable to the surpluses we have transferred to the IAA in recent years. It’s one of the ways we work to develop a resilient pension plan that can respond to challenges both now and in future.

Different plans, different calculations

Retired members from other BC public sector pension plans may receive different COLAs because each plan calculates COLAs in slightly different ways. Read Adjusting for inflation, found under related content, to learn more about how inflation adjustments added to your pension can help preserve your buying power throughout your retirement.