The Local Pension Board of Enfield Council met on Wednesday, 26 June 2024, to discuss various updates and reports related to the Enfield Pension Fund. Key topics included the quarterly administration report, contributions report, pension fund work plan, appointment of an actuary, and the LAPFF quarterly engagement update.

Enfield Pension Fund Quarterly Administration Report

Tim O’Connor, Exchequer Manager Pension, provided an update on current pension issues, developments, and performance. He highlighted the new code of practice published by The Pensions Regulator (TPR), which consolidates ten previous codes into one and is expected to come into force on 27 March 2024. This new code covers five sections: the governing body, funding and investment, administration, communications and disclosure, and reporting to TPR. The HMRC Newsletter 155 was also discussed, focusing on the abolition of the Lifetime Allowance (LTA) and the potential need for further legislative changes. Additionally, new Government Actuary's Department (GAD) guidance on the McCloud remedy was reviewed. The report was noted, and Tim O’Connor was tasked with bringing a training plan to the next board meeting.

Contributions Report

Ravi Lakhani, Head of Pension Investments, presented the contributions report. He noted that the Enfield Pension Fund has experienced 74 days of late payments out of 345 expected payments, a significant increase from the previous year. This was mainly due to technical issues faced by one new employer to the fund. Under current legislation, the fund is entitled to charge interest on late payments but has chosen not to do so. The report was noted.

Pension Fund Work Plan

Ravi Lakhani also presented the pension fund work plan, outlining the general remit and core functions of the Enfield Pension Board, the terms of reference, and the work programme for 2024/25. The work programme was agreed upon, with the inclusion of two London CIV updates throughout the year and a training plan for members to be devised in conjunction with the new code of practice.

Appointment of Actuary

The board discussed the appointment of Hymans Robertson for a five-year contract to provide both actuarial services and benefits consultancy, expected to cost between £80-£120k for actuarial services and £10-20k for benefits consultancy per annum. The exact costs will depend on the level and volume of work requested by the fund. The board expressed thanks to Aon for their years of service. The report was noted.

LAPFF Quarterly Engagement Update for Quarter Ending 31 December 2023 and Draft Work Plan for 2024-25

Ravi Lakhani highlighted key points from the LAPFF Quarterly Engagement Update. The Local Authority Pension Fund Forum (LAPFF) comprises 71 local authority pension funds with combined assets of over £210 billion. The forum promotes investment interests and social responsibility among the companies in which they invest. Councillor Doug Taylor attended the LAPFF Conference in 2023, which covered issues such as the electric vehicle supply chain and biodiversity. The report was noted.

AOB - Including Review of AGM

Victor Ktorakis stood down as the Employee Representative and was replaced by David Dollemore, elected at the recent Unison AGM. Alison Cannur resigned as the Employer Side Representative, effective August 2024. The chair thanked Alison for her hard work and long service.

For more details, you can refer to the minutes of the meeting.