Keep Pension Funds Safe
Wednesday 11th January 2012
COUNCIL WORKERS PENSIONS SAVINGS
MUST NOT BE USED TO SUBSIDISE DODGY INFRASTRUCTURE PROJECTS SAYS
GMB
There may be some sensible
infrastructure investments that are as good as other investments -
that's fine - but we can't have the £140 billion LGPS funds used as
a politician’s plaything says GMB
GMB commented on the revelation that the
Treasury and the Local Government Association (LGA) have been
having secret talks about using Local Government Pension Schemes
funds (LGPS) to pay for infrastructure projects. See notes to
Editors for 2010 valuations of monies in 91 funds in England, Wales
and Northern Ireland.
Brian Strutton GMB National Secretary for
Public Services said “The money in these pension funds are
union members savings for their retirements. They are not a
Treasury resource. The funds are savings belonging to local
government workers and they should be invested well.
I'm very surprised that Treasury
and the Local Government Association have been discussing the use
of our member’s pension savings to support government
infrastructure projects like roads and railways. There has been no
discussion with us which is very worrying. Given that government
wants staff to take more responsibility for the cost of their
pensions we have an absolute right to have a say in how those
pension savings are invested. GMB intend that this right is
exercised by our members.
There may be some sensible
infrastructure investments that are as good as other investments -
that's fine - but we can't have the £140 billion LGPS funds used as
a politician’s plaything. Pension fund savings cannot be gambled on
projects which are financially dodgy due to risks of cost
escalations from planning, design or other problems.
Government has worked with National
Association of Pension Funds (NAPF) to come up with ways for
private sector pension schemes to invest in infrastructure projects
safely and GMB will be happy to help do the same for the LGPS. But
GMB can't have our members' pension pots raided to pay for pet
projects for politicians. That is not fair and probably
unlawful."
End
Contact: Brian Strutton 07860 606 137 or Naomi
Cooke GMB National Pensions Officer 07739 919 633
Notes to Editors:
2010 Valuation Results from England, Wales and
Northern Ireland for each of the 91 local authority pension funds
set out alphabetically:
|
Fund
|
Assets
(m)
|
Actuarial
Deficit
(m)
|
Funding
Level
|
Ongoing Employer
Contribution
|
Employee
Contrib
|
|
Barking & Dagenham London
Borough
|
£549
|
£180
|
75.4%
|
16.1%
|
6.8%
|
|
Barnet London Borough
|
£631
|
£190
|
76.0%
|
14.2%
|
6.6%
|
|
Bath & NE Somerset (Avon Pension
Fund)
|
£2,459
|
£552
|
82.0%
|
11.8%
|
6.4%
|
|
Bedfordshire County
Council
|
£1,168
|
£449
|
72.0%
|
13.9%
|
6.6%
|
|
Berkshire Pension Fund
|
£1,319
|
£311
|
81.0%
|
12.8%
|
6.6%
|
|
Bexley London Borough
|
£448
|
£69
|
87.0%
|
12.9%
|
6.5%
|
|
Brent London Borough
|
£455
|
£294
|
61.0%
|
13.4%
|
6.6%
|
|
Bromley London Borough
|
£448
|
£81
|
84.0%
|
14.7%
|
6.6%
|
|
Buckinghamshire County
Council
|
£1,322
|
£349
|
79.0%
|
13.7%
|
6.5%
|
|
Cambridgeshire County
Council
|
£1,494
|
£555
|
73.0%
|
17.2%
|
6.5%
|
|
Camden London Borough
|
£877
|
£277
|
76.0%
|
16.8%
|
7.0%
|
|
Cheshire County Council
|
£2,577
|
£600
|
81.0%
|
16.1%
|
6.5%
|
|
City & County of Cardiff
Council
|
£1,031
|
£431
|
71.0%
|
14.9%
|
6.3%
|
|
City & County of
Swansea
|
£1,017
|
£319
|
76.0%
|
14.6%
|
6.3%
|
|
City of Westminster
|
£670
|
£238
|
74.0%
|
12.4%
|
6.9%
|
|
Clwyd Pension Fund
|
£956
|
£376
|
72.0%
|
11.7%
|
6.3%
|
|
Cornwall County Council
|
£1,041
|
£289
|
78.3%
|
16.5%
|
6.5%
|
|
Corporation of London
|
£571
|
£92
|
86.0%
|
12.4%
|
6.8%
|
|
Croydon London Borough
|
£584
|
£301
|
66.0%
|
13.1%
|
6.6%
|
|
Cumbria County Council
|
£1,278
|
£331
|
79.0%
|
12.5%
|
6.2%
|
|
Derbyshire County Council
|
£2,409
|
£558
|
81.1%
|
11.9%
|
6.4%
|
|
Devon County Council
|
£2,327
|
£530
|
81.0%
|
14.3%
|
6.4%
|
|
Dorset County Council
|
£1,412
|
£375
|
79.0%
|
13.8%
|
6.4%
|
|
Durham County Council
|
£1,682
|
£418
|
80.0%
|
13.1%
|
6.4%
|
|
Dyfed Pension Fund
|
£1,234
|
£129
|
91.0%
|
12.0%
|
6.3%
|
|
Ealing London Borough
|
£610
|
£258
|
70.0%
|
12.1%
|
6.6%
|
|
East Riding County
Council
|
£2,302
|
£808
|
74.0%
|
17.2%
|
6.4%
|
|
East Sussex County
Council
|
£1,869
|
£272
|
87.3%
|
16.0%
|
6.6%
|
|
Enfield London Borough
|
£570
|
£128
|
82.0%
|
15.1%
|
6.6%
|
|
Environment Agency
(Active)
|
£1,589
|
£95
|
94.0%
|
13.0%
|
6.9%
|
|
Essex County Council
|
£3,085
|
£1,234
|
71.0%
|
12.2%
|
6.5%
|
|
Gloucestershire County
Council
|
£1,054
|
£444
|
70.4%
|
15.4%
|
6.6%
|
|
Greenwich London Borough
|
£702
|
£121
|
85.0%
|
14.1%
|
6.6%
|
|
Gwynedd Pension Fund
|
£930
|
£183
|
83.5%
|
17.1%
|
6.5%
|
|
Hackney London Borough
|
£729
|
£378
|
65.8%
|
16.7%
|
6.8%
|
|
Hammersmith & Fulham London
Borough
|
£532
|
£186
|
74.0%
|
13.1%
|
6.8%
|
|
Hampshire County Council
|
£3,238
|
£1,256
|
72.0%
|
13.2%
|
6.5%
|
|
Haringey London Borough
|
£664
|
£296
|
69.0%
|
17.3%
|
6.8%
|
|
Harrow London Borough
|
£436
|
£157
|
73.5%
|
16.0%
|
6.7%
|
|
Havering London Borough
|
£361
|
£228
|
61.3%
|
15.1%
|
6.7%
|
|
Hertfordshire County
Council
|
£2,194
|
£757
|
74.3%
|
16.8%
|
6.6%
|
|
Hillingdon London Borough
|
£564
|
£163
|
77.6%
|
15.9%
|
6.7%
|
|
Hounslow London Borough
|
£509
|
£120
|
81.0%
|
12.8%
|
6.7%
|
|
Isle of Wight County
Council
|
£296
|
£97
|
75.3%
|
17.7%
|
6.4%
|
|
Islington London Borough
|
£733
|
£283
|
72.0%
|
11.3%
|
6.7%
|
|
Kensington & Chelsea London
Borough
|
£451
|
£58
|
89.0%
|
14.8%
|
6.8%
|
|
Kent County Council
|
£2,885
|
£843
|
77.0%
|
14.1%
|
6.4%
|
|
Kingston Upon Thames Royal London
Borough
|
£385
|
£145
|
73.0%
|
14.7%
|
6.7%
|
|
Lambeth London Borough
|
£765
|
£1,055
|
72.5%
|
16.8%
|
6.9%
|
|
Lancashire County Council
|
£3,962
|
£993
|
80.0%
|
12.5%
|
6.4%
|
|
Leicestershire County
Council
|
£2,111
|
£529
|
80.0%
|
14.3%
|
6.5%
|
|
Lewisham London Borough
|
£715
|
£234
|
75.4%
|
17.7%
|
6.8%
|
|
Lincolnshire County
Council
|
£1,204
|
£382
|
76.0%
|
16.5%
|
6.4%
|
|
London Pensions Fund Authority
(Active)
|
£2,417
|
£480
|
83.0%
|
12.9%
|
6.8%
|
|
London Pensions Fund Authority
(Pensioners)
|
£1,300
|
£390
|
77.0%
|
-
|
6.7%
|
|
Merseyside Pension Fund
|
£4,706
|
£1,310
|
78.0%
|
11.6%
|
6.4%
|
|
Merton London Borough
|
£344
|
£67
|
84.0%
|
14.1%
|
6.6%
|
|
Newham London Borough
|
£662
|
£250
|
72.0%
|
13.7%
|
6.6%
|
|
NILGOSC
|
£3,540
|
£783
|
82.0%
|
17.7%
|
6.4%
|
|
Norfolk County Council
|
£1,936
|
£486
|
80.0%
|
15.7%
|
6.6%
|
|
North Yorkshire County
Council
|
£1,345
|
£659
|
67.0%
|
12.2%
|
6.3%
|
|
Northamptonshire County
Council
|
£1,206
|
£445
|
73.0%
|
16.2%
|
6.5%
|
|
Northumberland County
Council
|
£719
|
£209
|
78.0%
|
15.7%
|
6.2%
|
|
Nottinghamshire County
Council
|
£2,644
|
£521
|
84.0%
|
13.5%
|
6.4%
|
|
Oxfordshire County
Council
|
£1,079
|
£287
|
79.0%
|
14.4%
|
6.5%
|
|
Powys County Council
|
£324
|
£130
|
71.0%
|
14.8%
|
6.2%
|
|
Redbridge London Borough
|
£397
|
£162
|
71.0%
|
14.8%
|
6.6%
|
|
Rhondda, Cynon & Taff
CBC
|
£1,569
|
£660
|
70.0%
|
13.1%
|
6.4%
|
|
Richmond-Upon-Thames London
Borough
|
£383
|
£98
|
80.1%
|
17.4%
|
6.9%
|
|
Shropshire County Council
|
£951
|
£226
|
81.0%
|
11.6%
|
6.4%
|
|
Somerset County Council
|
£1,076
|
£321
|
77.0%
|
13.1%
|
6.4%
|
|
South Yorkshire Pension
Fund
|
£4,076
|
£1,085
|
79.0%
|
12.0%
|
6.4%
|
|
South Yorkshire PTA
|
£162
|
£27
|
86.0%
|
19.4%
|
6.3%
|
|
Southwark London Borough
|
£789
|
£222
|
78.0%
|
13.6%
|
6.7%
|
|
Staffordshire County
Council
|
£2,435
|
£822
|
74.8%
|
16.2%
|
6.5%
|
|
Suffolk County Council
|
£1,415
|
£306
|
82.0%
|
16.6%
|
6.6%
|
|
Surrey County Council
|
£1,944
|
£755
|
72.0%
|
16.3%
|
6.7%
|
|
Sutton London Borough
|
£337
|
£153
|
69.0%
|
17.5%
|
6.7%
|
|
Tameside (Grtr
Manchester)
|
£10,445
|
£390
|
96.4%
|
14.0%
|
6.5%
|
|
Teesside Pension Fund
|
£2,233
|
£18
|
99.0%
|
14.6%
|
6.5%
|
|
Torfean County Borough
Council
|
£1,512
|
£530
|
74.0%
|
11.1%
|
6.3%
|
|
Tower Hamlets London
Borough
|
£755
|
£305
|
71.2%
|
17.3%
|
6.8%
|
|
Tyne & Wear Pension
Fund
|
£4,305
|
£1,131
|
79.0%
|
15.3%
|
6.3%
|
|
Waltham Forest London
Borough
|
£480
|
£318
|
60.0%
|
11.3%
|
6.5%
|
|
Wandsworth London Borough
|
£769
|
£75
|
91.0%
|
15.3%
|
6.8%
|
|
Warwickshire County
Council
|
£1,099
|
£229
|
83.0%
|
12.8%
|
6.4%
|
|
West Midlands Pension
Fund
|
£8,008
|
£2,614
|
75.0%
|
11.9%
|
6.5%
|
|
West Sussex County
Council
|
£1,759
|
£288
|
85.9%
|
16.4%
|
6.6%
|
|
West Yorkshire Pension
Fund
|
£7,942
|
£590
|
93.0%
|
13.8%
|
6.3%
|
|
Wiltshire County Council
|
£1,167
|
£396
|
74.6%
|
16.0%
|
6.2%
|
|
Worcestershire County
Council
|
£1,366
|
£613
|
69.0%
|
11.6%
|
6.4%
|