The Pension Committee of Croydon Council is scheduled to convene on Tuesday, 17 March 2026. The meeting's agenda includes a review of the Fund's Funding Strategy Statement, an update on audit findings for the 2024/25 financial year, and the presentation of a draft Medium Term Business Plan for 2026-2029.

Review of Funding Strategy Statement

The Committee is expected to consider the outcome of a consultation process regarding the Fund's Funding Strategy Statement (FSS). Following this consultation, the Committee will be asked to formally adopt the FSS and associated policy documents. This adoption is necessary to enable the Fund Actuary to finalise and sign off the statutory valuation report by the deadline of 31 March 2026. The FSS is a crucial document that outlines how the Croydon Pension Fund manages funding risks and determines contribution levels from employers. It is reviewed every three years as part of the triennial valuation process, with interim reviews conducted to ensure its continued appropriateness. The draft FSS was previously presented in September 2025 and approved subject to consultation with the Fund's employers.

Audit Findings Report - Pension Fund Annual Report and Financial Statements for 2024/25

This item will provide the Committee with an update on the completion of the audit for the London Borough of Croydon Pension Fund's Annual Report and Financial Statements for the 2024/25 financial year. The report includes the final Audit Findings Report, the auditor's opinion on the Financial Statements, and the auditor's consistency opinion for inclusion in the Pension Fund Annual Report. Due to national audit timetables and the complexity of the audit, the auditor was unable to complete sufficient work to provide an unmodified opinion, resulting in a disclaimer of opinion for both the financial statements and the annual report. This situation is partly due to the need to re-establish audit assurance following previous disclaimed opinions.

Pension Fund Medium Term Business Plan 2026/29

The Committee will be invited to comment on and agree the draft Medium Term Business Plan for the Pension Fund, covering the financial years 2026/27 to 2028/29. This plan outlines the Fund's strategic direction, governance arrangements, and work programme. It also highlights significant legislative changes progressing through Parliament, including the Pensions Scheme Bill and proposed regulations concerning pooling, management, investment of funds, and amendments to governance and administration. These legislative changes are expected to have a substantial impact on the management of the Fund.

Croydon Pensions Administration Reporting for the Period November 2025 to January 2026

This report will present the Key Performance Indicators (KPIs) for the administration of the Local Government Pension Scheme for the three-month period ending January 2026. It will measure performance against legal deadlines and team targets. The report indicates that while most targets have been met, deferred benefit calculations remain below expected levels. The administration team has implemented a plan to address older deferred benefit cases, which are more complex due to data verification challenges. The report also notes an increase in member self-service portal sign-ups following the release of Annual Benefit Statements and highlights ongoing work on the McCloud remedy and the implementation of new government regulations concerning survivor benefits and gender pension gap reporting.

Review of Breaches of the Law

The Committee will review the current Breaches of the Law log extract for the Pension Fund, noting any changes since the last meeting on 9 December 2025. This report presents the log, which details breaches of the law relevant to the administration of the Fund, as required by the Pensions Act 2004. Since the last review, one new entry has been added concerning the failure to publish the audited Annual Report and Accounts for 2024/25 within regulatory deadlines. Three older entries have been removed from the log as they are over three years old. The report indicates that all 17 items currently on the log are closed.

Review of Risk Register

This item will present the Pension Fund's Risk Register for review. The register details relevant risk scenarios, their likelihood and impact, and proposed mitigations. The report highlights that 10 out of the 17 risks on the register are currently considered significant. Future controls are planned to reduce the number of significant risks. Three new risks have been added relating to planned regulatory changes from the Access and Fairness, Access and Protections, and Fit for the Future consultations, which could impact resources and potentially lead to fund mergers if requirements are not met.

Progress Report for the Quarter Ended 31 December 2025

This report will provide an update on the Fund's investments and its current funding position for the quarter ending 31 December 2025. It is divided into four sections: performance against strategic goals, asset allocation strategy and its application, risk management, and updates from recent investment manager meetings. The report indicates that the Fund's investments increased by £52.4 million during the quarter, reaching £2,166.8 million, with a quarterly return of 2.7%. The indicative funding position at 31 December 2025 is estimated at 148%, with a 92% likelihood of achieving the required investment return.

Local Government Pension Scheme Advisory Board and The Pensions Regulator Update

This report will inform the Committee about matters currently under consideration by the Local Government Pension Scheme Advisory Board (SAB) and The Pensions Regulator (TPR) that are relevant to the Fund. It will highlight any implications for the Fund and how these are being addressed in consultation with Fund advisers. The report details recent publications and responses from the SAB concerning legislative reforms, pooling, access and fairness, and fiduciary duty. It also notes TPR's updated enforcement strategy consultation.

Exclusion of the Press and Public

A motion is expected to be moved to exclude the press and public from the remainder of the meeting. This is proposed on the grounds that the following items of business involve the likely disclosure of exempt information, and that the public interest in maintaining the exemption outweighs the public interest in disclosing the information. This exclusion would apply to Part B of the agenda, which includes a further Progress Report and an Investment Strategy Review.