UK - Scheme managers and consultants are warning ministers not to tamper with the Local Government Pension Scheme following a "stocktaking" exercise.
The fears were prompted by Gordon Brown’s Budget speech, where the Chancellor said the public sector should give more consideration to local and regional differences.
Scheme managers believe the government is looking at decentralising the structure of LGPS and giving individual local authorities more power over the structure of their individual pensions arrangements.
But scheme managers and consultants oppose decentralising the LGPS, as they feel it would make the scheme far more complex.
Punter Southall principal Graeme Muir said: “There are a lot of arguments for letting local authorities do their own thing, but also for keeping everything the same.
“Letting schemes do their own thing would be more complicated, and one advantage at the moment is that because it’s all the same, it makes everything simpler.”
One local authority pensions manager – who declined to be named – added: “A lot of authorities prefer the national arrangements because it gives them something to fall back on.
“You don’t get any local fights with that.”
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