Tectonic shift: could RPI transition be the new Libor?

With CPIH set to replace RPI in 2030, some say the move could cost pension funds around £90bn

As rates markets focus on the seismic upheaval that is the end of Libor, a less obvious dislocation has been gathering steam beneath the inflation sector. The 2030 transition of the standard measure of inflation from the retail price index (RPI) to CPIH – the consumer price index including owner occupiers’ housing costs – looks set to cause dramatic disruptions for holders of inflation-linked bonds.

“The market overall isn’t paying much attention to a transition happening eight-and-a-half years

Only users who have a paid subscription or are part of a corporate subscription are able to print or copy content.

To access these options, along with all other subscription benefits, please contact [email protected] or view our subscription options here: http://subscriptions.risk.net/subscribe

You are currently unable to copy this content. Please contact [email protected] to find out more.

To continue reading...

You need to sign in to use this feature. If you don’t have a Risk.net account, please register for a trial.

Sign in
You are currently on corporate access.

To use this feature you will need an individual account. If you have one already please sign in.

Sign in.

Alternatively you can request an individual account here: