The LGPS Pension Fund Sub-Committee is scheduled to convene on Monday 14 September 2026 to discuss a range of important matters concerning the Warwickshire Pension Fund. Key topics include the implications of Local Government Reorganisation for the LGPS, a comprehensive review of the fund's governance, and updates on business plan monitoring and pension administration performance.

Local Government Reorganisation - LGPS

A significant portion of the meeting is scheduled to be dedicated to the implications of Local Government Reorganisation (LGR) for the Local Government Pension Scheme (LGPS). The report outlines that the government has decided to establish two new unitary authorities in Warwickshire, with services expected to be delivered by these new authorities from 1 April 2028. The Warwickshire Pension Fund's future needs to be considered within this reorganisation, with necessary changes managed to ensure pension services are delivered safely and legally from that date. The report details that the LGR programme includes a Finance Workstream with a sub-workstream focused on LGPS pension fund matters. This work is in its early stages and will need to align with wider decisions about future operating models and stakeholder engagement. The report highlights that the Fund will require additional resources to plan and coordinate the necessary activity, deliver governance changes, and manage alterations in employers and membership.

Pension Fund Governance Report

The committee will receive a report summarising the main governance issues affecting the Warwickshire Pension Fund. This report combines items previously covered in separate committee reports and will provide an update on the Fund's forward plan, risk management, updated policies, training, and regulatory updates. The report details the current Risk Register, noting that Local Government Reorganisation has been added as a new risk with a score of 16. Other significant risks rated as 'Red' include Governance failure and Climate change, both with a residual risk score of 16. The report also outlines key performance indicators for governance, with targets and actual performance for the publication of draft and final pension fund accounts, and member attendance at various committee meetings. Several policy updates are scheduled for discussion, including the draft Administration Strategy 2026, the updated Internal Dispute Resolution Procedure (IDRP), and the Governance Compliance Statement.

Business Plan Monitoring Quarter 1

Progress against the Warwickshire Pension Fund's Business Plan for 2026/27 as at the end of the first quarter will be presented. The report indicates that out of 38 items in the business plan, 24 are on track ('Green'), 5 are flagged as 'Red', and 9 are 'Not Started'. Items related to the Investment Strategy Statement (ISS) and local investment requirements are marked as 'Amber' due to legislative deadlines moving, with a revised ISS to be presented and consulted upon. The report also includes a draft of the 2026/27 Budget and Medium-Term Financial Plan for the first time, which brings together the Fund's financial activities. The budget and plan indicate that the Fund is expected to be cash flow negative over the planning period, with benefit payments exceeding contribution income, to be funded from existing cash reserves or investment redemptions. The report proposes additional resources for the Administration Team, a Governance Officer post, and a Project Manager to support increased governance demands and project work.

Pension Administration Activity and Performance Update

An update on key developments affecting pensions administration and the performance of the Pensions Administration Service (PAS) is scheduled. The report highlights the continued growth in the use of the Engage self-service portal, with nearly 50% of active members registered. The Engage system has been used for communicating regulatory changes and will be used for the Annual Benefit Statements (ABS) process. Key Performance Indicator (KPI) performance for April to June 2026 will be reviewed, with nine out of sixteen KPIs meeting the 95% target. The report notes that the PAS has experienced staff changes and an increase in workload, impacting performance on some KPIs, but improvements are expected as new staff become acclimatised and processes are reviewed. Workload data indicates an increase in cases created and completed compared to the previous year, and a decrease in open cases. The report also discusses the need for increased administration resources based on benchmarking figures and growth in scheme membership and employer numbers.

Other Topics for Discussion

The meeting agenda also includes several other important items:

• Review of the Public Minutes of the Warwickshire Local Pension Board Meeting of 7 July 2026: This will involve reviewing the public minutes from the previous meeting of the Warwickshire Local Pension Board.
• Governance Action Plan: An update on the delivery of actions identified in the review of the Fund's governance arrangements, including those arising from the Pension Schemes Bill 2026 and Local Government Reorganisation.
• Employers Joining and Leaving the Pension Scheme: Information regarding employers joining and leaving the pension scheme is scheduled for discussion.
• Annual check on contribution rates and security requirements for Admitted Bodies: This item will cover an annual review of contribution rates and security requirements for admitted bodies.
• BCPP Voting, Stewardship and Corporate Governance Update: An update on voting, stewardship, and corporate governance matters related to the Border to Coast Pensions Partnership (BCPP).
• Climate Policy and Net Zero Strategy: The committee will consider the Fund's Climate Policy and Net Zero Strategy.
• Investment Strategy Statement: A review of the Fund's Investment Strategy Statement is scheduled.
• General Activity Update: A general update on the activities of the Pension Fund.
• LGPS Pooling Update: An update on the progress of LGPS pooling arrangements.
• Quarterly Investment Monitoring Report: This report is to follow.
• Exempt Minutes of Previous Meetings: Minutes containing exempt or confidential information will be considered.
• Review of the Exempt Minutes of the Warwickshire Local Pension Board Meeting of 7 July 2026: A review of the exempt minutes from the Warwickshire Local Pension Board meeting.