The Pension Board of Croydon Council met on Wednesday 26 August 2026 to discuss the Pension Fund's Annual Report and Financial Statements for 2025/26, review key performance indicators for pensions administration, and consider several policy reviews. The meeting also included updates on the Local Government Pension Scheme Advisory Board and The Pensions Regulator.

Pension Fund Annual Report and Financial Statements 2025-26

The Board was scheduled to review the London Borough of Croydon Pension Fund Annual Report for 2025/26. This report, along with the draft financial statements, was to be presented to the Pension Committee on 15 September for approval for publication, subject to the completion of the financial statement audit. The report details the Fund's financial performance, investments, governance, and administration for the year. The report highlights that the Fund's net assets increased by £182 million during 2025/26, bringing total net assets to £2.145 billion. The Fund achieved an investment return of 10.3% in 2025/26, outperforming its benchmark of CPI + 4% by 2.8 percentage points. The report also details the Fund's asset allocation, management expenses, and actuarial valuation results, which showed a surplus of £480 million as at 31 March 2025, with a funding level of 132%.

Croydon Pensions Administration Report for May to July 2026

A report was scheduled to be presented outlining the Key Performance Indicators (KPIs) for the administration of the Local Government Pension Scheme (LGPS) for the period May to July 2026. This report aimed to measure performance against legal and internal requirements. The report noted that recruitment was underway to fill a vacancy for a Senior Pension Officer, and a new Pension Administrator had joined the team. The administration team had conducted blitz days to prepare for the Annual Benefit Statement (ABS) production, focusing on reducing outstanding workloads. Updates were also provided on the implementation of updated actuarial factors from the Government Actuary's Department and the ongoing work on the Pensions Dashboard programme, including address tracing and data cleansing.

Review of Representation Policy

The Board was asked to consider a reviewed Representation Policy. This policy is intended to comply with new statutory requirements under the Local Government Pension Scheme (Amendment) (Governance) Regulations 2026, which mandate that administering authorities prepare, publish, maintain, and regularly review a Conflicts of Interest Policy. The revised policy aims to ensure compliance with legislative requirements and reflect changes in the Fund's governance arrangements, including the appointment of an LGPS Senior Officer, an Independent Person, and an Independent Governance Reviewer. The policy details the rationale behind the composition and voting rights of the Pension Committee and Pension Board members, and outlines additional representation opportunities through employer forums and stakeholder engagement.

Review of Conflicts of Interest Policy

This report presented a revised Conflicts of Interest Policy for the Fund, updated to align with new statutory requirements under the Local Government Pension Scheme (Amendment) (Governance) Regulations 2026. These regulations require administering authorities to prepare, publish, maintain, and regularly review a Conflicts of Interest Policy, specifying the matters it must address. The revised policy ensures compliance with these new legislative requirements and incorporates forthcoming changes to the Fund's governance, including the appointment of an LGPS Senior Officer, an Independent Person, and an Independent Governance Reviewer. The Board was invited to provide comments on the revised policy for consideration by the Pension Committee.

Review of Data Improvement Policy

The Board was scheduled to review an updated Data Improvement Policy. This policy is designed to address the Pension Regulator's (TPR) requirement for schemes to regularly review data quality and implement improvement plans for any identified issues. The policy outlines the Fund's approach to monitoring and identifying data quality problems, implementing corrective measures, reporting on progress, and setting long-term improvement goals. The reviewed policy incorporates changes in regulatory and statutory guidance from 2026 and includes updated data quality controls, such as the reconciliation of monthly and year-end employer returns.

Review of Pension Administration Strategy

The Board was asked to consider a reviewed draft administration strategy. This strategy is a mandatory requirement under the Local Government Pension Scheme Regulations 2013, as amended by the Local Government Pension Scheme (Amendment) (Governance) Regulations 2026. The strategy sets out the quality and performance standards expected of the Administering Authority and Scheme employers, aiming to promote good working relationships, improve efficiency, and ensure high-quality data and documentation. The reviewed draft incorporates new regulatory and statutory guidance requirements and current practices. Following consideration by the Board and Pension Committee, the strategy would be issued to employers for consultation.

Local Government Pension Scheme Advisory Board and The Pensions Regulator Update

This report was intended to inform the Board of matters currently under consideration by the Local Government Pension Scheme Advisory Board (SAB) and The Pensions Regulator (TPR) that are relevant to the Fund. Any implications for the Fund were to be noted and addressed in consultation with Fund advisers. The report detailed recent announcements from the SAB regarding new investment working groups, the decommissioning of the LGPS Code of Transparency data system, and the launch of a new Cost Transparency and Benchmarking Services framework. It also covered updates on the Pension Schemes Act 2026, the SAB's response to consultations on pooling, governance, and investment strategy statements, and the publication of the SAB's thirteenth Scheme Annual Report. Additionally, the report included information on the SAB's engagement events and its response to a letter from the Local Government Minister regarding investment in conflict zones. Updates on TPR's Enforcement Strategy Consultation were also noted.