Advertisement
Advertisement
Skip to content
Follow Us on
Advertisement
TOP STORIES
Corporate Law

Central Government Pensioners’ Dearness Relief Hiked to 63% from July 2026

Advertisement

Summary: The Government of India, Ministry of Personnel, Public Grievances and Pensions, Department of Pension and Pensioners’ Welfare, has issued Office Memorandum No. 42/02/2024-P&PW(D)/E-9475 dated 4 November 2026, announcing an increase in Dearness Relief (DR) for Central Government pensioners and family pensioners from 60% to 63% of basic pension or family pension, including additional pension and additional family pension. The revised rate is effective from 1 July 2026. The increase represents an additional three percentage points over the rate applicable under the previous Office Memorandum dated 24 April 2026, which had revised Dearness Relief to 60% from 1 January 2026. The revised Dearness Relief applies to Central Government pensioners and family pensioners, including Armed Forces pensioners, civilian pensioners paid from Defence Service Estimates, Railway pensioners, All India Service pensioners, recipients of provisional pension and other pensioners covered by the specified departmental Office Memoranda dated 23 June 2017 and 11 September 2017. The Government has directed that any fractional rupee arising in the calculation of Dearness Relief must be rounded up to the next higher rupee. Offices of the Accountant General and authorised pension-disbursing banks have been instructed to arrange payment at the revised rate without awaiting further instructions. This is consistent with the framework governing disbursement of government pensions by agency banks. For persons serving in the Indian Audit and Accounts Department, the orders have been issued in consultation with the Comptroller and Auditor General of India under Article 148(5) of the Constitution. The memorandum has been issued in accordance with the Ministry of Finance, Department of Expenditure’s Office Memorandum dated 29 October 2026.

Government of India
Ministry of Personnel, Public Grievances & Pensions
Department of Pension & Pensioners’ Welfare

No.42/02/2024-P&PW(D)/E-9475

3rd Floor, Lok Nayak Bhawan,
Khan Market, New Delhi-110003
Date: 4th November, 2026

OFFICE MEMORANDUM

Sub: – Release of an additional installment of Dearness Relief (DR) to Central Government Pensioners/Family Pensioners – Revised rate with effect from 01st July, 2026 – reg.

The undersigned is directed to refer to this Department’s OM No. 42/02/2024-P&PW(D) dated 24th April, 2026 on the subject mentioned above and to state that the President is pleased to decide that the Dearness Relief admissible to Central Government Pensioners/Family Pensioners shall be enhanced from the existing rate of 60% to 63% of the basic pension/family pension (including additional pension/ additional family pension) w.e.f. 01st July, 2026.

2. These rates of DR will be applicable to all Central Government Pensioners/Family Pensioners including Armed Forces Pensioners/Family Pensioners and Civilian Pensioners/Family Pensioners paid out of the Defence Service Estimates; Railway Pensioners/Family Pensioners; All India Service Pensioners/Family Pensioners; Pensioners who are in receipt of Provisional Pension and also to those Pensioners/Family Pensioners covered under this Department’s OM No. 4/34/2002-P&PW(D)Vol.II dated 23rd June, 2017 and para 6 of this Department’s OM No. 23/3/2008-P&PW(B) dated 11th September, 2017.

3. The payment of Dearness Relief involving a fraction of a rupee shall be rounded off to the next higher rupee.

4. The offices of Accountant General and authorized Pension Disbursing Banks are requested to arrange payment of Dearness Relief on the basis of these instructions without waiting for any further instructions in view of Comptroller and Auditor General of India’s letter No. 528- TA, II/34-80-II dated 23rd April, 1981 and Reserve Bank of India’s Circular No. GANB No. 2958/GA-64 (ii) (CGL)/81 dated 21st May, 1981.

5. In so far as the persons serving in Indian Audit and Accounts Department are concerned, these orders are issued in consultation with the Comptroller and Auditor General of India, as mandated under Article 148(5) of the Constitution of India.

6. This issues in accordance with the Ministry of Finance, Department of Expenditure’s OM No. 1/2(iv)/2026-E.II(B) dated 29.10.2026.

Hindi version will follow.

(Dhrubajyoti Sengupta)
Joint Secretary to the Govt. of India

1. All Ministries/Departments of the Government of India.

2. Chief Secretaries and AGs of all States/UTs.

3. CMDs/CPPCs of all authorized Pension Disbursing Banks.

4. C&AG of India, UPSC, etc. as per standard endorsement list.

5. Reserve Bank of India (RBI) for Information.

Advertisement

Join TaxGuru's Network for the latest updates on Income Tax, GST, Company Law, Corporate Laws and other related subjects.

Leave a Reply

Your email address will not be published. Required fields are marked *