Issue - meetings

To present members with an update on engagement activity undertaken by the Local Authority Pension Fund Forum (LAPFF) on behalf of the Fund.

To present members with an update on engagement activity undertaken by the Local Authority Pension Fund Forum (LAPFF) on behalf of the Fund.

George Patsalides (Finance Analyst, Brent Council) introduced a report from the Corporate Director Finance & Resources which detailed the Local Authority Pension Fund Forum (LAPFF) Engagement Update.

In presenting the update, members were advised that the LAPFF had been established to promote the highest standards of corporate governance in order to protect the long-term value of local authority pension funds and engage directly with companies in which investments were held in order to affect change, understand views on company behaviour and risks with engagement being member led and designed to advance corporate responsibility and responsible investment on the basis of collaboration strengthening the voice of Pension Funds.

In noting the summary of key engagement work undertaken by the LAPFF during Q1 2025 (as detailed in Appendix 1 of the report) the key areas of activity were highlighted in relation to Water Stewardship, the progress of banks in transitioning to net zero in relation to the financing of Fossil Fuels along withupdates on efforts to engage with UK boards on corporate governance.

Having noted the viability and advantages available through the sustained collective effort and pressure that could be applied through the LAPFF, rather than by single Pension Funds acting individually, the Chair thanked George Patsalides for presentation of the report, and then invited members to raise any questions or comments, with queries and responses summarised below:

·            In considering the remit of the LAPFF, their ability to keep investment within the local area was questioned by members. George Patsalides responded reminding members of the LGPS Fit for the Future proposals focused on local and UK based investment. As such, LAPFF was set to fulfil the role of holding these companies to account in their operations with the update provided in Appendix 1 of the report outlining how the LAPFF sought to enforce ESG principles, good governance and ethical practice from the partners they were engaged with.

With no further questions or comments, the Sub Committee thanked officers for the update and RESOLVED to note the report.