The Hertfordshire Fire Pension Board met on Friday 24 April 2026 to review the Firefighters' Pension Scheme Risk Register, discuss performance reports from the Local Pensions Partnership Administration (LPPA), and receive updates on age discrimination remedies and the Firefighters' Compensation Scheme. Key decisions included noting the contents of these reports and accepting the Firefighters Pension Fund accounts for 2024/25.

Pension Fund Risk Register

The Board reviewed the Hertfordshire Fire Pension Scheme Risk Register for the period of October to December 2025. Three risks were identified as being above the tolerated threshold: ineffective management of the fund (Risk A1), skills and knowledge gaps at the administrative authority (Risk A2), and poor administration, including delays in implementing regulatory changes (Risk E1). Risks A1 and A2 were attributed to the retirement of the Head of Pensions, with recruitment underway for the position. Risk E1 was linked to ongoing delays with the McCloud¹ remedy. The Board accepted the report, noting that the risk rating for A1 and A2 was expected to fall back into tolerance once the new Head of Pensions was in post, though it might not return to the original level due to the need to backfill the previous Head of Pensions' role.

LPPA Performance Report (Q3 2025/26)

Scott delivered the Hertfordshire FPS Q3 2025/26 LPPA performance report. He highlighted a small increase in membership across deferred and pensioner categories, with a slight decrease in active members. The overall service level was maintained at 97.2%, with a minor issue in retirements from deferred status due to queries on one case. The contact centre performance averaged three minutes and ten seconds, with a spike in October attributed to seasonal sickness. Customer satisfaction scores showed 70% positive responses for overall contact centre interactions and 90% for individual agents. However, response rates for retirement surveys remained low, with only one response received out of four issued for active retirements and zero for deferred retirements.

Usage of the online portal, PensionPoint, showed approximately 60% of pensioners and just under 62% of active members registered. Deferred members' registration stood at 47.83%. The report detailed significant member contact activity, including targeted communications for members who had not yet returned their immediate choice remedial service statement elections for the McCloud options. An online claim form was introduced in January to streamline this process. Data quality scores at the end of the quarter were 97.4% for common scheme targets and 88.7% for scheme-specific targets. The lower scheme-specific score was partly due to outstanding annual benefit statements for members in the retained modified scheme, with functionality issues being addressed.

During the discussion, Councillor Mark Barber noted that members still preferred physical interaction but anticipated increased engagement with the online calculator when it becomes available. Taryn Ahlberg, Pensions Governance Manager, mentioned a circulated letter regarding the software provider's handling of the modeler and access to self-serve estimates, which would be followed up. Councillor John Boulter shared positive observations from a visit to the LPPA offices in March, highlighting their focus on customer service, staff development, and technology. The Board noted the report.

Age Discrimination and Remedy

Rachel Wilson, Senior HR Officer, Pay & Reward, provided an update on the ongoing work related to the McCloud² retrospective remedy. Active retirements affected by McCloud were proceeding smoothly. There were a few outstanding contingent decisions, but these members were not nearing retirement age. Contribution adjustments had ceased, with seven requests to pay 1992 scheme adjustments and two refund requests for 2006 scheme adjustments processed.

Regarding Immediate Choice Remedial Service Statements (IC-RSS), 19 remained outstanding as of 31 March 2026. Twelve of these were for Matthews³ modified members awaiting system functionality, and six had validation errors requiring case-by-case resolution. All members with tapered and unprotected status had responded to their election deadlines. Payments to pensioners were largely up to date, with a few outstanding cases awaiting further information. The Board noted the report.

Second Options Exercise for Retained Firefighters

Rachel Wilson also provided an update on the second options exercise for retained firefighters. Expressions of interest were still being received, and contact had been made with all in-service individuals who had not yet responded. Retirees were also being contacted via newsletters. Quotes were being processed, with payroll data typically returned within a few weeks. The Matthews⁴ amendments, which came into force on 1 April 2026, allow previously deferred members to convert standard service to special service and buy back opted-out service. The HR Pay & Reward team was preparing to write out to members with quotes for these additional options, but would need to wait until June for the new GAD calculator. Quarterly reporting to the Local Government Association (LGA) was up to date.

Councillor Mark Barber expressed his thanks to Rachel Wilson and Jenny for their efforts in contacting retired members affected by Matthews, noting that their team had gone above and beyond in their engagement. The Board noted the report.

Firefighters' Compensation Scheme Review

Rachel Wilson presented a report on the Firefighters' Compensation Scheme (FCS) consultation. The LGA had conducted an informal consultation on the scheme, which compensates firefighters for injury, illness, or death in the line of duty. The review identified several areas for reform, including outdated definitions of firefighter roles and duties, inequities in award calculations for different firefighter types, outdated survivor benefit provisions, governance gaps, and concerns about the financial sustainability of locally funded injury awards. The informal consultation aimed to gather sector views before formal recommendations were made to the Ministry of Housing, Communities and Local Government (MHCLG). The Board noted the report, with one councillor commenting that the review was definitely timely and that some of the old approaches were so tired and dated.

Firefighters Pension Fund Accounts 2024/25

Robert Winterton, Finance Manager, presented the Firefighters Pension Fund accounts for the financial year 2024/25. The accounts showed a deficit of £7.3 million, which was met by a central government top-up grant. Employer contributions totalled £7.8 million, an increase of £2.2 million from the previous year, and employee contributions were £3 million, an increase of £0.5 million. Total benefits paid amounted to £18.2 million, an increase of £1.6 million. The net asset statement indicated that any assets and liabilities were ultimately the responsibility of the government. The Board noted and commented on the report.

Dates of Future Meetings

The Board noted the dates of future meetings for the remainder of 2025/26, with the next meeting scheduled for 20 July 2026 at 10:00 AM.