The Pension Fund Committee of Harrow Council is scheduled to meet on Monday 22 June 2026 to review the workplan for the upcoming year, discuss the fund's actuarial funding position, and receive updates on pensions administration and investments. The committee will also consider the fund's risk register and compliance with The Pensions Regulator's code of practice.

Harrow Pension Fund Committee Workplan 2026-2027

The committee will review the proposed workplan for the Pension Fund Committee for the municipal year 2026-2027. This plan outlines the key areas of focus and planned discussions for the committee's meetings throughout the year, including regular investment and risk monitoring, as well as the approval of new and updated policies and strategies.

Quarterly Actuarial Funding Position Update

A report will be presented detailing the estimated funding position of the Harrow Pension Fund as of 31 March 2026. This update will show how the funding level has changed since the last triennial valuation on 31 March 2025. The report indicates an estimated funding level of 100% as of March 2026, a decrease from 108% in March 2025. The report notes that the estimated value of liabilities has increased, driven by a decline in the real discount rate from 3% to 2.4% due to market conditions.

Pensions Administration Update with Key Performances

This agenda item will provide an update on the performance of the Pension Fund's administration for the quarter ending 31 March 2026. The report indicates that the administration team completed 2,492 tasks during this period, with an average of 72.95% of tasks completed within the target time. This represents an improvement from the previous quarter. The report also highlights recent legislative changes affecting the Local Government Pension Scheme (LGPS), including those related to survivor pensions and death grants, and the ability for councillors to join the scheme.

London Collective Investment Vehicle (LCIV) and Local Government Pension Scheme (LGPS) Update

The committee will receive an update on developments within the LGPS and the requirements for investment pooling. The report notes that the Pensions Schemes Act has become law, with secondary legislation expected to come into force on 30 June 2026, introducing new governance requirements for LGPS funds. These include the appointment of an Independent Person and LGPS senior officer by 31 December 2026, and the production of an Investment Strategy by 31 March 2027. The report also references an analysis of the 2025 triennial valuation for LGPS funds in England and Wales, showing a strengthening of funding levels and a reduction in average employer contribution rates.

Review of Pension Fund Risk Register

The committee is asked to review the updated Pension Fund Risk Register for Q1 2026/27. The report details the fund's key risks, their causes, consequences, and the controls in place to manage them. Two risks have seen a change in their rating: risk number 5, concerning the pooling of assets, has been added to the register with a D3 risk score, and risk number 13, the risk that the long-term investment strategy is not a good fit for the liabilities of the scheme, has increased from E2 to D2 due to a change in responsibility from investment consultants to the London Collective Investment Vehicle (LCIV).

The Pensions Regulator (TPR) Code of Practice Compliance Update

This report provides an update on the progress made in bringing the Harrow Pension Fund into compliance with The Pensions Regulator's (TPR) new General Code of Practice (GCOP), which came into force in March 2024. The report outlines the initial compliance testing results across 14 chapters of the code, with varying levels of full, partial, and incomplete compliance. It also details the actions planned to achieve full compliance, including policy reviews and updates to procedures.

Fund Valuation and Performance Monitoring Report March 2026

This report summarises the Pension Fund's investment performance for the quarter ending 31 March 2026. The fund returned -3.0% net of fees over the quarter, underperforming its benchmark by 2.9%. The market value of investments decreased by £36.4m to £1.15bn. Over a 12-month period to 31 March 2026, the fund underperformed its benchmark by 5.1%, returning 8.7%. The report also details the fund's asset allocation and provides updates on specific investments, including the LaSalle Property Fund of Funds. Confidential appendices contain detailed reports from the Independent Adviser and Mercer.

The meeting is scheduled to take place at 18:30 on Monday 22 June 2026 in the Auditorium at Harrow Council Hub, Forward Drive, Harrow, HA3 8NT. Members of the public can attend in person or view the meeting online via webcasts.