The Local Pension Committee was scheduled to meet on Friday, 26 September 2025, at County Hall in Glenfield to discuss several items, including the Local Pension Board's annual report, the pension fund valuation, and responsible investment updates. The meeting was also scheduled to cover the pension fund's annual report and accounts, and a budget monitoring update.

Local Pension Board Annual Report

The committee was scheduled to note the Local Pension Board's Annual Report for 2024/2025. The report summarised the Board's work between April 2024 and March 2025, and was scheduled to go to the Pension Fund Annual General Meeting on 15 December 2025. According to the report, the Board had no concerns about the Leicestershire Pension Fund or its administration, but would continue to monitor the welfare of pension officers administering the McCloud remedy¹ and any future legislative requirements.

Pension Fund Valuation

The committee was scheduled to discuss the indicative whole fund valuation results and proposed changes to the Fund's Funding Strategy Statement (FSS). According to the report, every three years, each LGPS administering authority has a statutory obligation to have an actuarial valuation carried out. The main purpose of the actuarial valuation is for the Fund Actuary to set employer contribution rates for a three-year period. The report noted that the Fund's funding position had improved from 105% at the 31 March 2022 valuation to 140% at the 31 March 2025 valuation. The committee was scheduled to discuss the draft FSS, including the contributions rate calculation, employer open or closed status, and the fund's approach to cessations².

Pension Fund Annual Report and Accounts

The committee was scheduled to approve the Pension Fund Annual Report and Accounts for the financial year 2024/25, subject to external audit. The report noted that the Fund follows guidance published by the Scheme Advisory Board³, the Chartered Institute of Public Finances and Accountancy⁴ and the Ministry for Housing, Communities and Local Government. The report also noted a comment from the Local Pension Board around a concern about the Fund's approach to net zero, including shareholder activism, divestment from certain sectors, and investments driven by ideology rather than financial return, and suggested the Fund should focus on maximising returns, and queried how the current approach could be re-evaluated.

Responsible Investment Update

The committee was scheduled to receive an update on the progress of the Responsible Investment Plan 2025, and the Fund's quarterly voting report and stewardship activities. The committee was also scheduled to approve the considerations and timeline for the Net Zero Strategy review and next steps, and to agree to commence an engagement exercise with employers and scheme members with respect to responsible investment and climate risk. The proposed questions for the engagement exercise were appended to the report.

Risk Management and Internal Controls

The committee was scheduled to receive information on any changes relating to the risk management and internal controls of the Pension Fund, as stipulated in the Pension Regulator's Code of Practice. The committee was also scheduled to approve the revised Pension Fund Risk Register.

Pension Fund - Budget Monitoring Update

The committee was scheduled to receive a budget monitoring update for the Pension Fund, including a forecast for 2025/26 and future years. The report noted that the 2025/26 budget was designed to provide sufficient funding to maintain the level of service required by scheme members and Fund employers over the current financial year, and did not propose to build in any additional costs that may arise from the Fit for the Future consultation. The report also provided an update in respect of the increased in year (2025/26) costs as a consequence of the Fit for the Future government pooling guidance.

Other Matters

The committee was also scheduled to note the minutes of the meeting held on 27 June 2025. The agenda also allowed for a question time, questions asked by members, urgent items, and declarations of interest. The committee was also scheduled to note the dates of future meetings and to exclude the press and public from consideration of the remaining items. The remaining items consisted of quarterly investment reports from fund managers including LGPS Central, Ruffer LLP, Fulcrum Asset Management, Legal & General Investment Management, Patria Capital Partners, KKR Global Infrastructure Investors, Saltgate UK AVPUT, Christofferson Robb & Company CRC, IFM Global Infrastructure, Infracapital Greenfield Partners LP, JP Morgan Asset Manager Infrastructure Investments Fund, LaSalle Leicestershire County Council Pension Fund, M&G Investments Debt Opportunities, Partners Group, Savilles Valuation Report, Stafford Timberland Quarterly Report, and Protection Aegon Asset Management.