The Pensions Committee of Barking and Dagenham Council met on Tuesday 30 June 2026 to review the fund's quarterly performance and discuss governance matters. Key decisions included the approval of the London CIV Investment Management Agreement and the admission of several new companies as Admitted Bodies to the pension fund.

Pension Fund Quarterly Monitoring

Nick Vickers, Interim Head of Pensions, Treasury and Capital, presented the quarterly monitoring report for the period of 1 January to 31 March 2026. He noted that while January and February saw positive returns, March experienced declines in equity markets due to events in the Middle East. The overall fund was down -0.72% in April but recovered with a 2.58% return in May. The report detailed the fund's performance against its benchmark, with the 12-month return outperforming the benchmark by 0.32%. The committee noted the report, including the performance of the fund collectively and of individual fund managers.

Fund Governance

The committee discussed several governance-related items.

London CIV Investment Management Agreement (IMA)

Nick Vickers explained the necessity of the IMA to comply with pooling legislation, which requires investment management agreements to be in place between the fund and the London CIV. This agreement legally transfers the relationship with investment managers from the fund to the London CIV. A minor amendment to paragraph 16.5 of the IMA, clarifying that liability is limited to the assets managed by the London CIV, was discussed. Despite initial reservations from one council, legal advice recommended agreeing to the IMA. The committee agreed to delegate the final agreement of the IMA to the Strategic Director of Resources, in consultation with the Chair and Deputy Chair.

Admissions to the Fund

The committee was asked to agree to several new Admitted Bodies joining the pension fund. These admissions were for companies that had been awarded contracts and were taking on staff from scheduled bodies, with transferring employees having a right to remain in the Local Government Pension Scheme (LGPS). The companies included Birkins Cleaning Services Limited (Jo Richardson Community School), Purgo Supply Services Ltd (All Saints Catholic School), Creative Barking and Dagenham Limited (Barking College), Olive Dining Limited (All Saints Catholic School), Atlantic Cleaning Services Ltd (Genesis Education Trust), KGB Cleaning South West Ltd (Eastbury School), and Stir Foods Ltd (John Perry School). It was noted that under LGPS pass-through regulations, certain risks remain with the letting body, meaning a bond was not required for these admissions. The committee approved these admissions.

Grant Thornton Pension Fund Audit Plan 2025/26

The committee noted the Grant Thornton Pension Fund Audit Plan for 2025/26. This plan outlines the audit strategy and scope for the upcoming financial year. The auditors highlighted significant risks, including the valuation of Level 3 investments and the disclosure of the actuarial present value of promised retirement benefits. The plan also detailed the audit team's approach to materiality and the timeline for audit activities. The auditors noted that they had previously issued a disclaimer of opinion for the 2024/25 audit due to scope limitations but anticipated being able to issue a qualified audit opinion for 2025/26, subject to the timely provision of information and no new significant issues arising.

MHCLG Response to the Scheme Advisory Board

The committee noted the Ministry of Housing, Communities and Local Government (MHCLG) response to the Scheme Advisory Board (SAB) regarding investment in conflict zones. The MHCLG's position, as stated by Minister of State for Local Government and Homelessness, Alison McGovern MP, is that decisions on boycotts, divestment, and sanctions are matters of UK foreign policy for central government, and it is not appropriate for local authorities to adopt investment policies that go beyond or differ from UK Government sanctions or foreign policy positions. The fund will update its Responsible Investment policy in light of this response.

Pension Board Changes

The committee was informed of changes to the Pension Board. An independent chairman has been appointed, and the board will now meet four times a year. A stronger link between the Pension Board and the Pensions Committee will be established, with reports from the board to each committee meeting starting in September.

Farewell to Nick Vickers

The meeting marked the last for Nick Vickers in his interim role as Head of Pensions, Treasury and Capital. The committee thanked him for his hard work and wished him well for the future. A permanent appointment has been made with Nemashe Sivayogan taking up the position from 3 August 2026.