The Pensions Committee noted the 2023/24 accounts for the Tower Hamlets Pension Fund before they are audited by EY. They also noted a number of updates on the running of the Pension Fund, and a work programme for the coming year.

Data Issues in the Pension Fund

The Committee heard a report about efforts to improve data quality in the Tower Hamlets Pension Fund. This follows on from the Committee's meeting in March 2024, at which the external auditors, Deloitte, raised concerns about the quality of data in the fund.

The Committee heard that inaccurate data had led to some pensioners being overpaid, and others being underpaid:

As a matter of course, where an overpayment has occurred or a member is underpaid, then of course we have to move to rectify that. - Paul Aoude, Interim Head of Pensions and Treasury

The Committee was told that officers are working with Zellis, the Council's payroll provider, and Heywood Pension Services, the Council's pensions administrator, to ensure that the pensions system contains accurate information about all of the scheme members. The Committee heard that data quality is a significant concern ahead of the next actuarial valuation of the fund in March 2025.

Admissions to the Pension Fund

The Committee received a report about the process for admitting new employers to the Tower Hamlets Pension Fund. The Committee heard that officers had identified 10 cases in which employers had started but not finished the process of joining the fund, in some cases several years ago. Some of those employers had contacted the council to find out what the current status of their application is. The Committee heard that there are three categories of employer that can join the fund:

• Scheduled Bodies, such as local authorities, academies, and emergency services
• Designated Employers, such as town and parish councils.
• Admission Bodies, which are usually charities or businesses that provide services to Scheduled Bodies or Designated Employers.

The Committee noted the existing Admissions Policy, and heard that officers intend to update it and present a revised policy to the Committee's meeting on the 30th of September 2024.

Governance of the Pension Fund

The Committee received a report about the governance of the Tower Hamlets Pension Fund. The Committee heard that the Fund's existing Governance and Compliance Statement is out of date. The Committee noted the existing Governance and Compliance Statement, and heard that officers intend to update it and present a revised statement to the Committee's meeting on the 30th of September 2024.

The Committee also received a report about a new training strategy for members of the Pensions Committee and the Pensions Board. It was noted that the last training session for members was held in March 2024. Councillor Jahed Choudhury requested that the training programme should include a visit to an investment manager so that Councillors could better understand how investments are made.

it's very important to understand things as a member before making any recommendation or anything, so I think this is a very good proposal for the training - Councillor Jahed Choudhury.

The Committee noted the existing Training and Development Policy, and heard that officers intend to update it and present a revised policy to the Committee's meeting on the 30th of September 2024.

Annual Benefit Statements

The Committee heard a report about the production of the Annual Benefit Statements which have to be issued to all members of the pension scheme by 31 August 2024. In total, the Council expects to issue around 16,400 statements. The Committee heard that officers are aiming to ensure that 99% of statements are issued without any errors.

Other Business

The Committee noted the 2023/24 accounts and the annual report.

The committee also noted the Work Programme for the coming year.