Agenda and draft minutes

Apologies for absence were received from Matthew Passey.  

To agree the minutes of the Pension Fund Committee held on 26 September 2024.

That the Minutes of the Meeting of the Pension Fund Committee held on 26 September 2024 were agreed as a correct record.

To note the draft minutes of the last Pension Fund Board meeting held on 15 October 2024

RESOLVED: That the Minutes of the Buckinghamshire Pension Fund Board meeting held on 15 October 2024 be noted.

To be presented by Claire Lewis-Smith, Pensions Administration Manager.

The Committee are asked to NOTE and COMMENT on the Pensions Dashboards Programme implementation plan.

Claire Lewis-Smith, Pensions Administration Manager presented the report.

The government aim is for individuals to view all their pension information, including the state pension, in one centralised location.

The dashboard will be available six months after the government announces the date of the dashboard available point.

The primary goal is to help individuals reconnect with lost pension accounts. There are five draft standards issued by the Money and Pensions Service that must be adhered to for the dashboard connection.

Discussions will take place with AVC (Additional Voluntary Contributions) providers to focus on how to upload data, either by them submitting it on our behalf or by data transfer to the fund for upload.

Further updates will be provided to the Pension Fund Committee and Board as the project progresses toward the October 2025 deadline. It was agreed that a progress report be submitted in June 2025. [ACTION: Pensions Administration Manager]

RESOLVED: That the report on the Pensions Dashboards Programme implementation plan be noted.

To be presented by Claire Lewis-Smith, Pensions Administration Manager.

The Committee is asked to NOTE the current position regarding the McCloud remedy.

Claire Lewis-Smith, Pensions Administration Manager introduced the report.

The Committee was informed that out of over 400 employers, 362 have returned the initial data template. Additional legislation requires two more data requests.

282 employers have completed all three requests. 118 are still being followed up for either original or additional data. Seven employers, who have left the Fund, cannot provide data for 330 scheme member records that need manual review.

For phase one, data validation was expected to finish by September but is still ongoing; phase two: verification is complete for 69 employers.

Priority is given to larger employers, such as Thames Valley Police (over 7,200 members) and Buckinghamshire Council (around 20,500 members) and Milton Keynes Council (13,744 members), with hopes to complete by December.

Once data from these employers is verified, two-thirds of the scheme membership will be loaded. Records back to 2014 will be reviewed to identify any qualifying members for the underpin.

Members qualifying for the underpin must be notified in their 2025 annual benefit statement, with the statement issued by August 31, 2025.

It was noted that the actuary has requested that the data upload be completed before submitting valuation data, both of which will be addressed in the summer of next year.

The Chairman asked that an information report on progress be submitted to the March meeting. [ACTION: Pensions Administration Manager]

RESOLVED: That the current position regarding the McCloud remedy be noted.

To be presented by Julie Edwards, Pensions and Investments Manager.

The Committee is asked to note the Section 13 report.

Julie Edwards, Pensions and Investments Manager introduced the report.

The Government Actuary Department (GAD) performed a Section 13 valuation of the 87 English and Welsh Local Government Pension Scheme (LGPS) funds to create a standardised comparison framework.

The Buckinghamshire Pension Fund successfully met all Section 13 criteria, receiving “green flags” across all measures. The main objective of the review is to ensure that contributions are appropriately set to achieve 100% funding over a suitable timeframe, using appropriate assumptions for the fund.

The Chairman congratulated the officers for achieving “green flags” on all GAD’S objectives, noting that this is a significant accomplishment.

RESOLVED: That note the Section 13 report be noted.

To be presented by James Gilliland, Pensions and Investments Accountant.

The Committee is asked to note the Buckinghamshire Pension Fund carbon metrics for the period ending 30th June 2024.

James Gilliland, Pensions and Investments Accountant presented the report.

Members were informed that the report evaluates the emissions of the fund over time, focusing on various metrics, particularly the weighted average carbon intensity. This metric measures the tons of carbon dioxide emitted per £1 million invested.

Key findings included:

·       As of June 30, 2024, the fund’s carbon intensity decreased from 224 to 141, marking a 37% reduction since the last report in November 2023.

·       Overall, there has been a 30.2% reduction in weighted average carbon intensity since December 2019, indicating progress towards a goal of 50% reduction by 2030.

The report also details total CO2 emissions and carbon intensity per £1million, which provides a more focused comparison over time but is less comprehensive as it only accounts for emissions directly owned by the fund.

Reference was made to Appendix 1 of the report which includes data from Brunel, which supports the findings, and the report references Brunel’s responsible investment paper for further insights on carbon and climate change.

Graph 1.4 shows the overall fund’s emissions alongside benchmarks for various investment classes, with most investments performing below their benchmarks.

Graph 1.6 provides a breakdown of emissions by different scopes, while Table 1.7 compares the portfolio’s performance against benchmarks over time.

Discussion took place on the complicated information presented and it was asked that Mercer provide a framework for just three metrics so that when officers prepare the report next year, they can then use that framework to offer comparisons. [ACTION: Mercer).

RESOLVED: That the Buckinghamshire Pension Fund carbon metrics for the period ending 30th June 2024 be noted.

To be presented by Julie Edwards, Pensions and Investments Manager.

RESOLVED: That the Forward Plan be noted and updated with the additional items requested at this meeting.

To resolve to exclude the press and public as the following items are exempt by virtue of Paragraph 3 of Part 1 of Schedule 12a of the Local Government Act 1972 because they contain information relating to the financial or business affairs of any particular person (including the authority holding that information).

RESOLVED: That the press and public be excluded for the following items as they were exempt by virtue of Paragraph 3 of Part 1 of Schedule 12a of the Local Government Act 1972 because they contain information relating to the financial or business affairs of any particular person (including the authority holding that information).

To agree the confidential minutes of the Pension Fund Committee held on 26 September 2024.

RESOLVED: That the confidential minutes of the Pension Fund Committee held on 26 September 2024 be approved as a correct record.

To note the confidential draft minutes of the last Pension Fund Board meeting held on 15 October 2024.

RESOLVED: To note the confidential draft minutes of the last Pension Fund Board meeting held on 15 October 2024 be noted.

To receive an Investment Overview from Mercer.

An Investment Overview from Mercer was noted.

To be presented by James Gilliland, Pensions & Investment Accountant and representatives of Brunel.

The Committee is asked to NOTE the investment performance of the Buckinghamshire Pension Fund for the second quarter of 2024-25, ending 30th September 2024, and comment as appropriate.

The Committee discussed the contents of the performance report, made comments and

RESOLVED: That the report be noted.

To receive a UK Property Review from Mercer.

A UK Property Review from Mercer was noted.

18 March 2025 at 2.00pm.

18 March 2025 at 2.00pm.