The Pension Board of Brent Council met on Thursday 06 November 2025 to discuss a range of pension administration and investment matters. Key decisions included noting the pension administration update, the LGPS update, the risk register, and the investment monitoring report.

Pension Administration Update

The board received an update on the performance of the Brent Pension Fund's administration. Overall, 98.9% of pension administration tasks were completed on time, with no case types falling below a 95% completion rate. However, the average wait time for the call centre had increased to three minutes and 57 seconds, an increase of over 30 seconds from the previous quarter. Despite this, the quality of service provided by call centre agents was noted as being good. Eight new complaints were received, a slight decrease from the previous quarter.

Chris Bala, Pension Scheme Members Representative, raised concerns about member dissatisfaction, which was largely attributed to delays in processing. John, who presented the administration update, acknowledged this and stated that the focus is on managing member expectations and improving communication regarding any delays.

Councillor Sandra Kabir inquired about the number of carried-forward casework cases, which John explained were often due to waiting for members to complete forms or for information from other pension schemes. She also asked about the ongoing McLeod saga, a complex administrative issue. Chris Bala confirmed that while the bulk of the issue would be addressed by mid-2026, it would transition into business-as-usual processes for years to come.

A delay in the dashboard connectivity was also reported, with the target for connection now set for mid-December. It was confirmed that this delay would have no material impact on members or the fund's funding, and it was not considered a reportable breach to The Pensions Regulator (TPR).

Local Government Pension Scheme (LGPS) Update

John provided an update on recent developments within the LGPS regulatory environment. A key discussion point was the reintroduction of pensions for councillors, which will now include a new definition of pensionable pay to encompass various elements of their remuneration. Early retirement for councillors will incur actuarial reductions, while later retirement will receive actuarial increases. Only LGPS care benefits can be transferred in and out, and these cannot be amalgamated with other LGPS benefits. Revaluation of these benefits is expected to be in line with CPI, rather than RPI.

The normal minimum pension age is set to increase to 57. However, individuals who were in the LGPS on 4 November 2021 will retain a protected minimum pension age of 55, unless they transfer out of the scheme. For those transferring into the LGPS with a protected pension age, this protection will not extend to their LGPS benefits, and adjustments will be made to offset the increase in retirement age.

The consultation on New Fair Deal was also discussed, which proposes to remove the concept of admission agreements for outsourced contracts. Instead, a deemed employer model will be introduced, where the letting authority will be considered the deemed employer, and pension liabilities will remain with them. This is expected to simplify processes and potentially save costs.

Councillor Kabir questioned the Department for Education's guarantee for academies, which John explained would step in to cover pension losses if an academy were to become insolvent. This guarantee was a catalyst for the pass through model and the deemed employer route.

Risk Register

George Patsolidis, Finance Analyst for the Brent pensions team, presented the updated Risk Register. He highlighted that overall, things are progressing well, with positive developments in fund performance and the delivery of annual benefit statements. The outsourcing of pension payroll to LPP in January 2025 was also noted.

Councillor Kabir raised concerns about inflation and its potential impact on the fund. George explained that the consensus is that inflation has peaked but remains above the Bank of England's target. He assured the board that these assumptions are built into the fund's planning and funding strategies. Haywin added that inflation is expected to be more steady, with actuaries revising inflation expectations downwards slightly.

Christopher Ballard, Pensioner Representative, suggested broadening the risk category beyond pandemics to include other national and global threats such as climate change and power outages. George agreed to consider including climate risks more explicitly in future updates, referencing TCFD measures and benchmarking against other authority pension funds.

Training Update

George reported that all members had completed their required training modules on the LGPS Online Learning Facility. He encouraged members to periodically review materials on current events in the LGPS, such as valuations and fit for the future initiatives. David Ewart, Independent Chair, thanked members for their engagement, particularly Councillor Tazi Smith for catching up on training modules.

Investment Monitoring Report - Q2 2025

Salman Shah, Head of Finance, presented the quarterly monitoring report for Q2 2025, covering the period from April to June. The fund achieved positive returns, with its valuation increasing to £1.36 billion from £1.32 billion in March 2025. Global equities were the primary driver of returns, gaining 5.2% in sterling terms, largely due to the technology sector. The overall fund return for the quarter was 3.2%, outperforming the benchmark, with yearly returns standing at approximately 5.7%.

Councillor Kabir inquired about the forecast for government bonds, noting their flat performance. Salman explained that the government bond market is volatile, particularly at the short end. He noted that government bond yields had fallen in October, meaning the cost of borrowing for the government was not as strong, leading to an increase in bond prices. He acknowledged the difficulty in predicting future bond market performance with certainty but highlighted that governments are more concerned about the bond market than they often let on.

Regarding the impact of government bond yields on asset allocation, Salman stated that the fund takes a long-term view. He noted that current bond yields are significantly higher than a few years ago, making them more attractive as a long-term proposition. This reduces the need for other investment strategies to take on as much risk.

Brent Pension Annual Report & Accounts 2024/25

Salman Shah presented the draft Pension Fund Annual Report for the year ending 31 March 2025. The report, which is in a new format this year, covers investments, performance, administration, pooling, actuarial information, and governance and risk management. It has been mapped against new guidance from the SIPFA and the Scheme Advisory Board. The report is scheduled for publication before the 1 December deadline.

The audit of the pension fund accounts has progressed, with auditors completing their fieldwork. However, the pension fund accounts are still tied to the council's accounts, and the board is awaiting the completion of the council's audit. No major issues have been identified in the pension fund audit, and a clean audit opinion is anticipated. The board noted the report and expressed thanks to the officers for their work.

Triennial Valuation Update & Funding Strategy Statement

The board was presented with an update on the 2025 Triennial Valuation and Funding Strategy Statement review. This report, along with the Whole Fund Results, Contribution Rate Modelling, and Investment Strategy Review, was scheduled to be considered in the private session of the meeting.

LAPFF Engagement Report

The board received an update on engagement activities undertaken by the Local Authority Pension Fund Forum (LAPFF) on behalf of the fund. This report was also scheduled for discussion in the private session.