The Pensions and Investments Committee of Derbyshire Council met on Wednesday 2 September 2026 to discuss the fund's investments and stewardship activities. Key topics included a review of the fund's investments and performance, updates on the Local Government Pension Scheme (LGPS) and its governance, and considerations for the fund's future administering authority in light of local government reorganisation. The committee also reviewed the Derbyshire Pension Fund's membership of the Local Authority Pension Fund Forum (LAPFF) and the governance arrangements for the LGPS Central Pool.

Investments Report

The committee was scheduled to review the Derbyshire Pension Fund's asset allocation, investment activity since the last meeting, and long-term performance analysis. The report, prepared by Neil Smith, Investments Manager, and Anthony Fletcher, Independent External Adviser, sought approval for the investment strategy. This included a detailed breakdown of asset classes, recommended weightings, and analysis of market returns over the past year. The report highlighted the fund's performance relative to its benchmark, with particular attention paid to growth assets, protection assets, and income assets. It also provided an outlook on economic and market conditions, including the impact of geopolitical events and inflation on global markets. The committee was asked to approve the combined recommendations outlined in the report.

Stewardship Report

A report on stewardship activities carried out by LGPS Central Limited (LGPSC), the fund's pooling company, was scheduled for discussion. This report, prepared by Neil Smith, detailed LGPSC's engagement and voting activities in line with the Local Government Pension Scheme (Pooling, Management and Investment of Fund) Regulations 2026. The committee was asked to note the stewardship activities of LGPSC, which are crucial for fulfilling the Pension Fund's responsible investment and stewardship responsibilities.

Local Government Reorganisation

The committee was scheduled to receive an update on the implications of Local Government Reorganisation (LGR) for the Derbyshire Pension Fund. This included noting the actions being taken to prepare for LGR and outlining potential options for a new administering authority from 1 April 2028. The report, prepared by Dawn Kinley, Head of Pension Fund, detailed the proposed changes to local government in Derbyshire, the cessation of existing councils, and the creation of two new unitary authorities. It explored various options for the fund's future administering authority, including splitting the role, designating one of the new unitary authorities, designating the East Midlands Combined County Authority (EMCCA), or creating a new Single Purpose Pensions Authority (SPPA). The report also discussed the funding implications of LGR and the potential impact on employer contribution rates and net cashflow.

Local Government Pension Scheme Update

This item was scheduled to provide an overview of developments affecting the administration and governance of the LGPS. Reports from Steve Webster, Pension Services Manager - Employers, and Dawn Kinley, Head of Pension Fund, covered several key areas. These included updates on the LGPS Fit for the Future reforms, the 2025 actuarial valuation and funding strategy statement, and the LGPS Scheme Advisory Board's annual review. The committee was also to be updated on LGPS Access and Fairness changes, including equalisation of survivor benefits and death grant reforms, as well as changes to elected member access to the LGPS. Further updates were scheduled on the Pensions Dashboards Programme, the McCloud remedy implementation, inheritance tax reforms affecting pension death benefits, and adjustments to the SCAPE rate.

Local Authority Pension Fund Forum Membership

The committee was scheduled to consider the Derbyshire Pension Fund's membership of the Local Authority Pension Fund Forum (LAPFF). The report, prepared by Dawn Kinley, outlined the LAPFF's mission to promote high standards of corporate governance and its structure, which is supported by specialist research and engagement activities tailored to the LGPS. It detailed the advantages and disadvantages of membership, noting that 88 out of 98 LGPS funds in the UK are members, with combined assets exceeding £425bn. The report recommended the continuation of the fund's membership.

LGPS Central Pool Governance Arrangements

This agenda item, reported by Neil Smith, Investments Manager, was to update the committee on changes to the governance arrangements of the LGPS Central Pool. The report detailed the review and updates to the pool's governance to reflect the 'Fit for the Future' reforms and the inclusion of additional partner funds. It outlined the new governance structure, including the Oversight Board, Shareholder Representative/Shareholders' Engagement Forum, Client Forum, and Partner Fund Officer Group. The committee was asked to approve the proposed appointments for representation within these governance structures.

Exclusion of the Public

A motion was scheduled to exclude the public from the meeting for the following item of business, citing the disclosure of exempt information under the Local Government Act 1972.

Exempt Minutes

The committee was scheduled to confirm the exempt minutes of the meeting held on 3 June 2026.