
Alison McGovern is minister of state for local government and homelessness
The government has launched a consultation on a series of reforms for the Local Government Pension Scheme (LGPS) in England and Wales.
The Ministry of Housing, Communities and Local Government (MHCLG) consultation – LGPS: Scheme improvements (access and protections) – covers four proposals relating to the LGPS covering normal minimum pension age, pension access for mayors and councillors, academies in the LGPS and the new Fair Deal.
A draft set of regulations for the proposals on pension access for mayors and councillors, as well as new Fair Deal, have also been published for comment.
Launching the consultation, minister of state for local government and homelessness Alison McGovern said: "The government knows that those individuals who serve our communities through giving their work lives to public service deserve a pension scheme that reflects their dedication and rewards their work.
"A good pension is not just about financial security, but also about fairness, equality, efficiency and access. The government cares about making the LGPS work better for the people it serves.
"For these reasons, the government is launching this consultation."
The MHCLG said several of the proposals respond to a range of long-standing concerns raised by the sector – particularly in relation to Fair Deal, which has been an area of interest in the scheme since 2016.
It said it had considered those previous calls for changes while preparing these current proposals, which will apply new Fair Deal protections to outsourced workers, ensuring workers outsourced from local government keep seamless access to the LGPS.
The consultation also sets out proposals to restore access to the LGPS for councillors in England and extending it to mayors.
It said the proposed reforms in this area would align England with Scotland, Wales and Northern Ireland, where elected members already have access.
The government said these proposals will "show locally elected leaders the respect they deserve as dedicated public servants".
Other measures being consulted on include making it simpler for multi-academy trusts to apply for their staff from different schools to be in the same pension fund.
The consultation will run until 22 December.
The consultation follows Fit for the Future and Pension Schemes Bill reforms introduced by the government – reforms that will further consolidate and professionalise the LGPS.
Governance reviews
At the Pensions UK Annual Conference in Manchester yesterday (15 October), a panel of LGPS professionals – Local Government Association head of pensions and scheme advisory board secretary Clair Alcock, Hymans Robertson head of LGPS benefit consulting Ian Colvin, and West Sussex County Council Pension Fund governance manager Vickie Hampshire – discussed some of the governance reforms that will come into force.
Under new rules each of the 86 administrating authorities will be required to undertake and publish governance reviews every three years.
Alcock, Colvin and Hampshire discussed how these new rules might work in practice – looking at how they might work in practice, who will conduct them and how to ensure consistency.
The panel said the overarching aim of the governance reviews was to drive improvements across the LGPS – using collaboration and peer support, rather than league tables on governance.