The Pension Fund Committee of Kent Council met on Thursday, 26 March 2026, to discuss a range of important matters concerning the management and performance of the Kent Pension Fund. Key topics included updates on investments, pensions administration, governance reviews, and the implications of upcoming regulatory changes.

Committee Work Plan and Action Log

The committee was scheduled to review its work plan and action log for the upcoming meetings. This included plans for the next four committee meetings, outlining key items to be considered. The work programme is subject to change and will be updated to reflect developments, particularly concerning the Fund's relationship with Border to Coast Pensions Partnership. An Investment Sub-group is also being developed to provide a forum for committee members to discuss the Fund's investment strategy in more detail. The action log from previous meetings was also to be reviewed to ensure appropriate recording and follow-up of actions.

Pensions Administration

A report was scheduled to provide an update on the administration of the Kent Pension Fund for the period of October to December 2025. This included details on casework, key performance indicators (KPIs), backlog updates, and the operations, engagement, and systems teams. The report highlighted a significant reduction in total outstanding cases, largely driven by clearing a high volume of new joiner cases. However, it also noted an increase in complex case types such as aggregation and transfers, which may create future backlogs. Performance against legal targets remained strong, but KPI performance was more mixed, particularly in relation to transfers and new joiner/opt-out processes. The report also detailed changes within the Operations Team, staff surveys indicating improvements in capability and autonomy, and ongoing recruitment efforts. Customer feedback from telephone surveys showed high satisfaction levels, though some negative feedback was also received. Updates on website enhancements, MyPension Online, and data quality were also included. The Technical and Training Team's update was expected to cover the McCloud remedy and preparations for upcoming regulatory changes impacting LGPS administration.

Investments Update

The committee was scheduled to receive an update on the Fund's investment strategy, asset allocation, performance, cashflow, and responsible investment activities. The report detailed the Fund's value and asset allocation as of 31 January 2026, showing it to be broadly aligned with the strategic asset allocation and within approved tolerance bands. A full review of the investment strategy was underway, following the triennial valuation, to ensure the strategic asset allocation was positioned to maintain and improve the funding position. This review was informed by a training and strategy away day and a responsible investment beliefs survey. The report also provided detailed investment performance for the quarter ending 31 December 2025, and for the year ended 31 December 2025, comparing performance against benchmarks across various asset classes and managers. Cashflow experience and forecasts were also presented, indicating no concerns over liquidity. An update on responsible investment activities included information on the Border to Coast RI Strategy, engagement themes, and the Net Zero roadmap. Voting activity and engagement by asset managers were also detailed.

Training Update

A report was scheduled to present the results of the Summer 2025 Member Knowledge Assessment, which had been used to inform the Fund's Training Plan. The assessment, conducted by Hymans Robertson, benchmarked Kent's Pension Board and Committee members against other LGPS funds. Key findings indicated areas for development in financial markets and product knowledge, actuarial methods, pensions administration, and pensions accounting and audit standards. The report outlined recommendations for follow-up work, including structured training workshops and informal Hot Topic sessions. The impact of upcoming regulatory changes on LGPS governance and training requirements was also discussed, with a commitment to review and update training practices once new regulations and guidance are finalised. The report detailed various training resources available, including online learning modules, webinars, and in-person sessions, and encouraged members to take personal responsibility for maintaining their knowledge.

Governance Review by Barnett Waddingham

The committee was scheduled to consider a Governance Review conducted by Barnett Waddingham. This review was undertaken to assist the Fund in preparing for significant regulatory changes impacting LGPS governance, proposed by the Ministry of Housing, Communities and Local Government (MHCLG) for implementation in 2026. The report contained a checklist of recommendations, which the committee was recommended to accept. These recommendations covered areas such as the review and approval of new strategies and policies, changes to the council's constitution to accommodate new roles, the appointment of a senior LGPS officer and an independent person, and the implementation of new knowledge and understanding requirements for relevant persons. The report also addressed the requirement for Independent Governance Reviews, outlining the scope, timing, and process for these reviews.

Employer Governance Matters

This report was scheduled to provide an update on Fund employers' governance and admission matters. It included information on the completed 31 March 2025 triennial valuation, which showed the Fund to be 104% funded. Details of new employer admissions and employer cessation arrangements, agreed under delegated authority to the Head of Pensions and Treasury, were to be presented. The report also provided statistics on employer activity, contribution income, and the timeliness of contribution receipts. The draft Fund final valuation report was attached as an appendix.

Local Government Reorganisation and Kent Pension Fund

A public report was scheduled to address the implications of local government reorganisation for the Kent Pension Fund. This topic would likely cover how any structural changes to local authorities might affect the administration, membership, and financial standing of the pension fund.

Exempt Items

The agenda indicated that certain exempt items were scheduled for discussion, during which the press and public would likely be excluded. These included Fund Governance, Funding Strategy Statement (FSS), Project Updates, Local Government Reorganisation and Kent Pension Fund, and Asset Pooling. These items were likely to involve the disclosure of exempt information relating to the financial or business affairs of particular persons or the authority itself.