The West Yorkshire Pension Fund (WYPF) Pension Board met to discuss key aspects of the fund's management and administration, including updates on pension regulations, investment performance, risk management, and training initiatives. The board reviewed the register of breaches of law, a pensions dashboard update, and the internal audit plan, and also agreed to review the minutes of the WYPF Advisory Panel meeting held on 24 July 2025.

2025 Actuarial Valuation

The board received an update on the 2025 actuarial valuation[^2] , which is used to review the fund's financial position and determine employer contribution rates. The terms of reference for the valuation were agreed with the fund's actuary, Aon, in early 2025. Data extracts were supplied to the actuary in July 2025, and a consultation on proposed updates to the Funding Strategy Statement (FSS) was launched in August 2025. The WYPF Advisory Panel will consider all responses to the consultation in October 2025, before deciding on the assumptions to be used by the fund's actuary for calculating initial results and individual employer contribution rates. The final valuation report and rates and adjustment certificate will be completed by 31 March 2026, with new employer contribution rates taking effect from 1 April 2026. Early indications suggest that most employers will experience a reduction in contribution rates.

The board also reviewed the draft Funding Strategy Statement for consultation, which included proposed key financial assumptions for the actuarial valuation. These included:

• Funding Targets A key element of funding strategy is the funding target to be adopted. The funding target is based on the assumptions used to value the liabilities. The funding strategy includes different funding targets/discount rates for different types of employers.
• Discount Rate It is proposed that the discount rate at the 2025 valuation be calculated using an 80% probability of funding success for the secure scheduled and subsumption body employers. It is proposed that the probability of funding success for intermediate funding targets is also increased to maintain a more prudent funding strategy than that used for more secure employers.
• Surplus Buffer The surplus buffer of 105% has been retained at this point, but this will be considered further at the October WYPF Advisory Panel meeting when market conditions at that point are known.
• Recovery Period A 22-year recovery period to amortize any surplus/deficit in the fund has been retained.
• Stepping The Fund's policy that employer contribution rate changes will generally be phased in over 6 years has been retained.
• Changes to CPI The short-term inflation uplift has been removed.

Local Government Pension Scheme (LGPS) Regulations Update

The board received an update on changes to the LGPS regulations and associated matters. The update covered a consultation on access and fairness, the cost control mechanism, the Scheme Advisory Board's Good Governance Report, pensions review, accounts decoupling, and the SAB consultation on the LGPS Code of Transparency. It also provided updates on pensions dashboards, inheritance tax consultation response, the Pension Schemes Bill, the revived Pensions Commission, the third state pension age review, and new PASA guidance on protecting member data.

Pensions Administration Report

The board reviewed the pensions administration report, which provided an update on the fund's pensions administration activities for the period 1 April 2025 to 30 June 2025. The report included performance statistics against key areas of work, such as age 55 increase to pension, AVC in-house (general), change of address, death grant to set up, and deferred benefits into payment. It also provided information on work in progress, scheme information, praise and complaints, internal disputes resolution procedures, and administration updates.

The report noted that membership for all schemes administered as at 31 August 2025 was 521,581.

The report also included a summary of the Internal Disputes Resolution Procedures (IDRP) decisions for the period 1 April 2025 to 30 June 2025. There were three stage 1 determinations, all of which were turned down. There were no stage 2 determinations.

The report highlighted several administration updates, including ongoing recruitment, the launch of a live webchat, a successful information security management systems audit and upgrade, progress on a new UPM SQL system, employer engagement with the Prudential, and a programme of member webinars.

The report also provided information on staffing, web registrations, and awards. WYPF has been shortlisted by both LAPF and LGC Awards under various categories.

Register of Breaches of Law

The board reviewed the register of breaches of law, which is maintained in accordance with the Pensions Regulator's requirements and WYPF breaches procedure. The entries on the register for 2025/2026 related to contributions being paid late by employers, delays to transfer out calculations, and the non-issue of annual benefit statements for a small number of active members.

The register of breaches included details of employers who failed to make payments by the appropriate date, including SSE Contracting Ltd, Atlas FM Payroll Limited (Bishop Konstant Catholic Academy Trust), Relish School Food Ltd (Highfield School), Betterclean (Kettlethorpe High School), Betterclean Services (Carlton Academy Trust), Otley Town Council, South Elmsall Town Council, Fleet Factors Ltd, Foxroyd Limited (Highburton First School), and Hemsworth Town Council.

Pensions Dashboard Update

The board received an update on the progress of the introduction of the Pensions Dashboard[^3]. The report outlined that pensions dashboards will enable individuals to access their pensions information online, securely all in one place, thereby supporting better planning for retirement. As a scheme manager, WYPF is required to connect with and supply pensions information to savers through The Money and Pensions Service (MaPS) pension dashboard, called MoneyHelper.

The report noted that PDP have now started to onboard providers onto the Pension Dashboard ecosystem and that as of August 2025, 13 industry participants including the State Pension have completed their connection journey. It was also noted that WYPF's ISP provider Bravura has passed all technical and cyber security standards and audit to join the Pension Dashboard ecosystem.

Risk Register

The board reviewed the risk register, which is subject to quarterly review. The document sets out WYPF's risk management policy, strategy, and risk appetite, describing the approach to risk which WYPF adopts. The purpose of the policy and strategy is to help effectively mitigate risks which may otherwise impact on achieving the fund's objectives, by the development and maintenance of a comprehensive risk register.

The risk assessment identified that significant levels of activity are required to manage the risks. Many of the key risks require immediate attention and it is important that having identified risks that could have critical impact, that the required action is undertaken.

The risk register contained with the Risk Management Policy and Strategy sets out a number of risks which have been identified in relation to WYPF. As part of a regular review, 53 risks have been identified and framed into scenarios. The risks identified have been rated, 36 of these above their acceptable tolerance level, 17 below the tolerance line.

Reports and Accounts 2024/25

The board reviewed the WYPF 2024/25 financial outturn, financial and service performance, and the draft 2024/25 annual report and accounts. The net asset value of the fund as at 31 March 2025 is £19,969.56m, a net value increase of £615.93m (3.18%) from 31 March 2024. The increase is due to financial market gains, financial asset stock selection, income from dividends and interest on bonds. WYPF under performed on its aggregate benchmark by 1.31%.

The total return on investment in 2024/25 is a positive return of £615.93m. WYPF continues to have a positive net cashflow, in 2024/25 net cash was £402.13m. In 2024/25 financial assets / investment performance was 3.90%, 1.31% below the benchmark.

Net expenditure is £16.72m against £18.50m budget, net underspend of £1.78m. The budget for 2025/26 was approved by the WYPF Joint Advisory Group (JAG) and the WYPF Investment Advisory Panel (IAP) in January 2025. The budget was compiled using last year's budget, adjusted for cost specific inflation, additional service costs and removing cost of services not needed. This process resulted in a base budget of £19.64m.

The latest government statistics - sf3, the 2023/24 result for WYPF £42.68. This is the lowest costs.

Membership increased from 323,414 in March 2024 to 327,632 in March 2025, and the number of participating employers reduced from 448 in March 2024 to 447 in March 2025.

Internal Audit Plan 2025/26

The board reviewed West Yorkshire Pension Fund's latest annual internal audit plan 2025/26 and five-year plan 2025/26 to 2029/30. The plan is reviewed annually by WYPF and CBMDC internal audit by carrying out a detailed assessment of WYPF business activities, pensions and investment regulatory compliance environment, service developments and risk management.

This financial year 2025/26, 13 separate audits are planned. High risk service areas such as UK and Overseas Equities are reviewed each year, medium risk services are covered within two to three years and low risk areas are covered within four to five years.

Addressing Tracing and Mortality Screening

The board received an update on West Yorkshire Pension Fund's (WYPF) new tracing and mortality contract. The Fund has appointed 'Target', a specialist tracing company, to trace members where they do not hold a current address for and to do monthly mortality screening.

The lost contact tracing service is intended to reduce the occurrence of non-payment of pensions at retirement age, reduce the potential of hardship due to late payment of benefits, reduce the potential for fraudulent requests to put a pension into payment, enable annual benefit statements to be sent to deferred members, ensure that records are as accurate and up to date as possible, identify deceased deferred members, and increase the number of full matches for the Pensions Dashboard.

The requirement is to trace the 15,399 lost contact members on a rolling programme over a 12-month period.

The screening service is intended to significantly reduce or prevent overpayment of pensions occurring due to payments being made after the death of a pensioner, significantly reduce or prevent the work associated with the attempts to recover overpaid pensions after a death, prevent the number of overpayments which must be written off due to non-recovery, and prevent the creation of an opportunity to commit fraud.

Training Update and Plans

The board reviewed details of training courses, conferences and seminars to assist board members to enable members to meet their training requirements. To be able to assist the Scheme Manager and meet the requirements of the Public Service Pensions Act 2013, Pension Board Members must be able to demonstrate suitable knowledge and skills.

The board were reminded that all members of the Local Pension Board should complete TPR Public Sector Toolkit online training including the Scam module as soon as possible and new members of the board should complete the modules within 6 months of joining the board. The relaunched Hymans Robertson online LGPS Learning Academy Training should also be completed as soon as possible in order to meet the expectations of TPR and the requirements defined by the Public Service Pensions Act 2013.

Board members were also encouraged to attend external training events provided by Pensions UK, LGA & Actuarial firms and consideration should also be given to Local Pension Board Member representation at various national events such as the Pensions UK Conference and LGA Governance conference.

Training - The Retirement Journey

The board received a presentation on the retirement journey in order to assist the Scheme Manager and meet the requirements of the Public Service Pensions Act 2013.

Minutes of the WYPF Advisory Panel Meeting (24 July 2025) and Pooling and Investment Summary

The board reviewed the minutes of the WYPF Advisory Panel meeting held on 24 July 2025 and noted the pooling and investment summary.