The report of the Director, West Yorkshire Pension Scheme (Document “I”) updates the Pension Board on changes to the Local Government Pension Scheme (LGPS) 2014 and provides information on associated matters.

Recommended –

That the report be noted.

(Tracy Weaver – 01274 433571)

Resolved –

That the report be noted

Action: Director, West Yorkshire Pension Fund

The report of the Director, West Yorkshire Pension Scheme (Document “I”) updated the Pension Board on changes to the Local Government Pension Scheme (LGPS) 2014 and provided information on associated matters.

With regard to McCloud and valuation guidance Document I reported that on 19 July 2021, H M Treasury had formally introduced to Parliament the Public Service Pensions and Judicial Offices Bill, which made provision to rectify the unlawful age discrimination identified by the McCloud judgment.

For the Local Government Pension Scheme that guidance confirmed which members would be in scope and what service was ‘remediable’. Enabling legislation would allow for scheme regulations to be changed to implement the McCloud remedy. The second reading of the Bill was in the House of Lords on 7 September 2021.

Alongside publication of the McCloud consultation, HM Treasury had announced that the pause of the cost control mechanism would be lifted and the process would be completed “next year”. The Scheme Advisory Board (SAB) would also be re-examining its results from its cost management process.

An update on the Money and Pensions Service - Pensions dashboard reported that on 27 May 2021, the Pensions Dashboard Programme (PDP) had launched a call for input on staging. The purpose of the call for input was to gather feedback and insight from pension schemes that would inform Government policy on staging. The PDP was recommending that all public service pension schemes should be on board in the initial wave – a two-year period starting from April 2023. It was expected that the public sector would be towards the end of the staging process.

It was reported that the Pensions Regulator (TPR) had published the results from the Public Service Pension Scheme Governance and Administration Survey 2020-21 on 1 July 2021. The survey found little change since 2019 for the key processes that TPR monitored as indicators of performance. Two-thirds of LGPS administering authorities who responded to the survey had all six processes in place. The six key processes were outlined in Document I. 

The results also revealed improvements in risk management processes, cyber controls and the proportion of members receiving their annual benefit statement on time. Governance had generally stood up well given the unique challenges the last year had presented.

Resolved –

That the report be noted

Action: Director, West Yorkshire Pension Fund