The Brent Pensions Board met on Tuesday 21 July 2026 to discuss pension administration performance, the LGPS update, and the fund's risk register. Key decisions included noting the updated training strategy and approving the draft annual accounts.

Pension Administration Update

The Board received an update on pension administration performance from John Smith, Pensions Manager, and Chris Spatz, Head of Client Services for LPPA. John Smith provided an overview of the fund's membership as of 31 March 2026, with 24,742 members. He noted that while the average percentage of cases processed within Service Level Agreements (SLAs) was 98.9%, there were some 1995 cases and death grants that were over two years old. Chris Spatz detailed the performance report, highlighting that casework performance was 98.9% against SLAs. He also discussed a dip in employer retirement notifications in Q4, which was seasonal, and a slight decrease in payments made within 30 days. The contact centre's average wait time was within target at three minutes 30 seconds, though call durations were increasing. Customer satisfaction remained positive, with 80% satisfied with contact centre calls.

Chris Spatz also provided an update on project work, including the ongoing regulatory changes within the LGPS, such as access and fairness, LGPS for elected members, McCloud remedy, and the pensions dashboard. He assured the Board that these projects were being managed, though they were resource-intensive.

John Smith provided further detail on complaints, noting eight new complaints and eight concluded, with four carried over from the previous quarter. Data quality remained stable at 96.6% for common data and improved incrementally to 87.6% for conditional data. He explained the McCloud remedy, which aims to address age discrimination by providing younger members with protection if they would have been better off under the old final salary scheme. The pensions dashboard project is progressing, aiming to be a one-stop shop for all pension benefits.

Councillor Saqib Butt raised concerns about the backlog of 1995 scheme retirements and delayed death grants, questioning if these were excluded from SLA calculations. John Smith acknowledged the issues with 1995 cases, some of which may predate LPPA's involvement. Chris Spatz clarified that service levels are measured once a case is completed and that while generally positive, there were specific issues with 1995 cases and death grants over two years old that were being monitored.

Chair's Annual Report

David Ewart, Independent Chair, presented his annual report for 2025-26. He highlighted the significant improvements in the Brent Pension Fund's funding levels over recent years, noting that it had come a long way from being one of the lowest funded local government funds. He mentioned the positive actuarial valuation, which allowed for significant reductions in employer contributions. He also stressed that risks remain and will be addressed.

Councillor Saqib Butt asked about concerns regarding administration indicators despite recent improvements and preparations for Fit for the Future governance reforms. David Ewart noted that while complaints were low, any complaint was too many, and that call centre wait times, though averaging well, still saw some individuals waiting over 10 minutes. He also confirmed that Fit for the Future reforms would be covered in more detail later.

Bola George inquired about the representation of co-opted members and union representation on the board. David Ewart clarified the board's composition, noting the vacant employer representative position. The recruitment for this role was ongoing, with a new recruitment round planned for September.

LGPS Update

John Smith provided a whistle-stop tour of recent developments in the LGPS. He discussed changes to leave without pay arrangements (ACWAPA), which simplify the process for members and administrators. He also covered bereaved partner's paternity leave, which is now pensionable, and the reintroduction of pensions for councillors, effective from 11 May 2026, with new rules regarding early retirement and employer contributions.

John Smith also touched upon the pensions dashboard, noting that while the MoneyHelper dashboard is government-provided, other private dashboards are expected. He mentioned the Fit for the Future reforms, which include new governance requirements such as the appointment of an LGPS senior officer and an independent person, as well as independent governance reviews and asset pooling. He also noted the increase in the SCAPE discount rate from CPI plus 1.7% to CPI plus 2%, which makes it easier to fund pensions.

Councillor Gwen Grohl asked about the changes Brent would need to implement to comply with the new Fit for the Future guidance. John Smith explained that governance is tightening, with new roles like the LGPS senior officer and an independent person, as well as independent governance reviews and asset pooling. Amanda Healy, Deputy Director of Finance, added that the costs for the independent person would be funded by the pension fund, not the general council budget.

Councillor Saqib Butt inquired about the number of councillors who had opted into the LGPS since May and the estimated costs, as well as confidence in data quality for the pensions dashboard. John Smith stated that it was too early to provide statistics on councillor opt-ins, and that data quality was being assessed for dashboard requirements. Amanda Healy suggested putting this on the next agenda once things had settled.

Risk Register

John Smith introduced the updated Risk Register, noting amendments to scores and comments based on preceding reports. The risk on LPPA's handling of McCloud underpins had been lowered due to improved performance. Admission agreements risk was lowered due to the identification of legal resources. Pension board training risk was changed due to experienced members leaving and new members requiring training. Geopolitical risk remained a concern, and inflation risk was discussed in detail, with the difficulty of predicting inflation drivers and the impact of external shocks. Cybersecurity risks were also discussed in relation to the pensions dashboard implementation.

Councillor Saqib Butt asked about the fund's highest residual risks by score and if cybersecurity risks had increased. John Smith confirmed that the risk register reflects their perception of risk and that significant resources are being put into making the dashboard resistant to attacks. Councillor Gwen Grohl asked about the evidence required to downgrade inflation risk. John Smith provided a detailed explanation of the complex drivers of inflation and the difficulty in predicting its return to stable parameters, concluding that it would likely depend on a more stable global environment.

Training Strategy

Sawan Shah, Head of Finance, presented the updated training strategy, driven by the Fit for the Future reforms. Key changes include members recording their own training, induction training within three months of appointment, annual training needs analysis, and enhanced monitoring. The strategy outlines various learning resources and formalises the requirement for members to complete the Pensions Regulator's online training toolkit. The strategy was approved by the Pension Fund Sub-Committee on 9 July. The Board was asked to note the updated strategy and endorse the requirement to undertake and record appropriate training.

Subcommittee Reports (for information)

The Board received updates on several items considered by the Pension Fund Sub-Committee:

Investment Monitoring Report - Q1 2026

Sawan Shah presented the Q1 2026 investment monitoring report. The fund posted positive returns over the quarter, ending with a valuation of £1.48 billion. Global equities were up 18% over the year, and UK equities up nearly 22%. The fund delivered 12.7% over the 12-month period, largely due to its 58% allocation to growth assets. The long-term strategic allocation is moving towards protection and income assets.

London CIV Presentation

Manish Shah provided a summary of the London CIV's update. The London CIV currently manages £60 billion of LGPS assets, with £38 billion pooled and actively managed. They are introducing new funds and focusing on investment strategy implementation and responsible investment.

Draft Annual Pension Fund Statement of Accounts 25-26

Manish Shah presented the draft accounts for 2025-26. Contributions had fallen slightly due to a reduced contribution rate, while benefits paid out had increased due to a fall in active members and an increase in pensioners. Investment performance had increased significantly, with fund assets rising by 13% to just under £1.5 billion. Councillor Saqib Butt inquired about a significant increase in the number of pensioners for other employers, which Manish Shah agreed to investigate further, suggesting it might be related to retirements from academy schools and national LGPS trends.

Fit for the Future Update

Sawan Shah provided a detailed update on the Fit for the Future reforms, which came into force on 30 June 2026. These reforms cover asset pooling, local investment, and governance arrangements. The fund is already well-advanced in asset pooling, with 93% of assets under management by London CIV. New governance arrangements include the appointment of a senior responsible officer and an independent person, and the requirement for independent governance reviews.

LAPFF Update

The Board noted the update on engagement activity undertaken by the Local Authority Pension Fund Forum (LAPFF). LAPFF engages with companies on issues such as storm overflows, PFAS, climate change adaptation, and employment rights. Engagements in Q1 included discussions with Pennon (South West Water), Schroders, Land Securities, Ryanair, IAG, Wizz Air, easyJet, IHG, Mitie, General Motors, and Nissin Foods.

Date of next meeting

The dates for the next two Pension Board meetings were confirmed as Thursday 5 November 2026 and Monday 22 March 2027.

The meeting concluded with thanks to the officers and presenters for their input.