Issue - meetings

The Pension Fund Annual General Meeting (AGM) received a Powerpoint presentation from Terry Crossley (from the Workforce, Pay and Pensions Division of Communities and Local Government (CLG)) introducing the new Local Government Pension Scheme (LGPS) which began on 1^st April 2008 and enforced viability, affordability and fairness.

Mr Crossley assured members that despite the current economic climate the pension fund was secure and guaranteed by a parliamentary act and LGPS investments were expected to improve next year. 

The AGM noted that employer costs were fixed until 2010 but may rise in 2011.  A valuation exercise would be conducted and there were plans to informally consult with ministers, local authorities and trade unions  about how the scheme would be managed over the long term.   This could include consideration of whether a final salary scheme was right for local government, whether pension fund authorities should be larger and whether pension payments should be delivered on a sub-regional basis.

In response to questions from stakeholders Mr Crossley emphasised that there were currently no specific plans to change any part of the LGPS but there would be open discussions with partners and trade unions about the possible options.

In response to stakeholders concerns about the potential loss of the final salary scheme Mr Crossley explained that any changes made to the scheme would not affect the current entitlements of scheme members.