The Islington Pensions Board is scheduled to convene on Wednesday 29 July 2026, with a key focus on reviewing the performance of the Pension Fund and its administration. The meeting's agenda includes discussions on the Fund's financial performance, draft year-end accounts, and the effectiveness of its administrative processes.

Pension Fund Performance - January to March 2026

A significant portion of the meeting is dedicated to examining the performance of the Pension Fund's investments for the period between January and March 2026. The report pack details the performance of various fund managers across different asset classes, including global equities, emerging markets, property, and private debt. For instance, the LCIV Newton Investment Management fund returned -6.1% against a benchmark of -1.1% for the March quarter, with a notable underperformance over the preceding 12 months. The report also highlights the performance of specific mandates, such as the LCIV RBC Sustainability Exclusion Fund, which underperformed its quarterly benchmark by -3.0%. The overall combined fund performance for the quarter was -1.9%, against a benchmark of -1.06%.

2025/26 Draft Pension Fund Year-End Accounts

The Board will review the draft 2025/26 Pension Fund accounts. These unaudited accounts indicate an increase in net assets to £2,211 million. Employee contributions rose to £19.1 million, and employer contributions, including deficit contributions, amounted to £52.3 million. Pensions paid totalled £68.8 million. Investment management fees increased to £12.9 million, reflecting the rise in asset values. The accounts show that income received, excluding investment income, was £93.5 million against an expenditure of £117.8 million, with the shortfall covered by investment income.

Pension Administration Performance

The meeting will also cover the performance of the Pension Administration activities between 1 February 2026 and 31 May 2026. The report indicates a marginal shift in membership from active to deferred and pensioner categories. Key processes saw an increase in volume, with an overall achievement rate of 77% within target days. Retirement processes experienced a significant rise, partly due to the VBEARS scheme. The report also notes the number of members auto-enrolled into the Local Government Pension Scheme (LGPS), with 139 starters and an opt-out rate of 5.76% during the period. The Pensions Office received 17 communications of thanks and 5 complaints, with the latter being resolved informally. An update on the National Fraud Initiative is also scheduled, with one case referred for investigation.

Risk Register and Forward Work Programme

The Pensions Risk Register will be reviewed, with a focus on strategic risks related to resourcing, governance, and investment strategy. Recent revisions have moved operational risks to a separate Business Operations Risk Register. New risks such as Geopolitical Risk and Governance Risk (Pooling) have been added, while others like Failure of Non-Public Sector Employers have been moved to the operational register due to improved employer covenant strength. The Board will also consider the Forward Work Programme for 2026/27, outlining planned agenda items and training topics to ensure effective governance and administration of the Scheme.

Membership, Terms of Reference and Dates of Meetings for the Pensions Board 2026/27

The Board will be asked to note the membership, terms of reference, and dates of meetings for the upcoming municipal year. This includes noting that the appointment of a Chair for the Board will be postponed to the September meeting. The current membership comprises Councillor Troy Gallagher and Ian Ship as employer representatives, Mike Calvert, Valerie Easmon-George, and George Sharkey as scheme member representatives, and Alan Begg as an independent member. The scheduled meeting dates for 2026/27 are 29 July, 22 September, 15 December, 16 March 2027, and 29 June 2027.