Yes, it must, as you are working the lower back, and core muscles so as they adapt they will grow like any other muscle.
I did not deadlift for over a year due to a knee injury, and since I have been back deadlifting I have put an inch on my waist, which at first I was horrified about, but my abs are just as good, if not better than they were, so my BF has not gone up, it is just a number on a tape.
If however you are a bodybuilder, then it is some thing to take into account, but for a powerlifter I should not worry.