Agenda item

This report presents the Brent Pension Fund Annual Report & Accounts for the year 2024/25.

Sawan Shah (Head of Finance Pensions and Housing Companies) introduced the report, providing an update on the Pension Fund Annual Report and Accounts for the year ended 31 March 2025.  At the time of the meeting, the Sub Committee was advised that the audit fieldwork was substantially complete, with the auditors now working on completing their closing procedures and final reviews in order to enable audit sign off by the Audit and Standards Advisory Committee which it was noted would be dependent on progress on the Council’s audit.

Members were advised that the accounts had been prepared to meet the requirements of the Code of Practice on Local Authority Accounting in the United Kingdom 2024/25 (the Code) governing the preparation of the 2024-25 financial statements for Local Government Pension Scheme funds with the aim of providing a true and fair view of the financial transactions of the Pension Fund during the year ended 31 March 2025 and the amount and disposition of the Fund’s assets and liabilities as at 31 March 2025.   The main items of note were identified as follows:

·            During 2024/25, the value of the Pension Fund’s investments had increased to £1,310m (2023/24 £1,259m).

·            Total contributions received from employers and employees had been £73m for the year, an increase on the previous year’s £69m.

·            Total benefits paid to scheme beneficiaries, in the form of pensions or other benefits, had been £60m, an increase on the previous year’s £52m.

·            As in 2024/25, the pension fund was in a positive cash-flow position on the basis of its contributions exceeding its outgoings to members.

Members noted that the Statement of Accounts had been as Appendix 1 to the report.  In terms of the draft Pension Fund Annual Report, members were advised this had been sent to Grant Thornton (External Auditor) for review and would be published on completion of the audit process.  The Annual Report had been updated to reflect the latest guidance from MHCLG, which set out the required structure and content for LGPS Annual Reports which included sections on Overall Fund management; Governance & Training; Financial Performance; Investments & Funding; Scheme Administration and Actuarial report.  Also included were the Investment Strategy Statement, Pensions Administration Strategy, Funding Strategy Statement and Communications Policy Statement all of which has been subject to approval via the Sub Committee.

The Chair thanked Sawan Shah for the update provided and then invited members to raise any questions or comments, with queries and responses summarised below:

·            Following a query relating to employer and employee contributions, confirmation was provided that a detailed breakdown had been provided within the analysis of dealings with scheme members included within the draft Annual Report and Statement of Accounts 2024-25 attached as Appendix 1 to the report circulated with the agenda.

In thanking the Finance team for their work regarding preparation of the Fund’s accounts the Committee RESOLVED to:

(1)    Note the draft accounts included as part of the annual report.

(2)    Note the draft Brent Pension Fund Annual Report 2024-25 which would be published as set out in paragraph 4.4 of the report.