The Local Pension Board of Oxfordshire Council met on Friday 23 January 2026 to review the Pension Fund's Annual Business Plan, Risk Register, and Governance and Communications Report. The Board was also scheduled to discuss updates on funding and investment strategies, as well as the implications of Local Government Reorganisation for the Fund.

Review of the Annual Business Plan

The Board was invited to review the position against the Annual Business Plan for 2025/26, as considered by the Pension Fund Committee on 12 December 2025. The report, presented by Mark Smith, Head of Pensions, detailed progress against key service priorities. These priorities included improving governance arrangements, enhancing operational effectiveness in service delivery and administration, developing the Fund's investment and funding services, and delivering service enhancements through technology. The report highlighted that four key actions under the governance objective were rated green, largely due to reliance on external factors such as government responses. Progress on the McCloud project was rated amber due to challenging timescales and resource constraints, with remaining cases expected to be completed by March 2026. The development of employer engagement and client relationship services was also rated amber due to efficiency and resource constraints, although progress had been made in sourcing a system to draft admission agreements. The report also provided an update on the budget for 2025/26, noting a forecast underspend on administrative staff costs due to vacancies and a forecast overspend on management fees primarily due to investment performance exceeding budget expectations.

Risk Register

Mukhtar Master, Governance and Communications Manager, presented the latest risk register, which had also been considered by the Pension Fund Committee on 12 December 2025. The Board was invited to review the report and offer any further views. The register identified no new emerging risks, but noted that central government initiatives such as the 'LGPS: Fit for the Future' consultation, Local Government devolution and reorganisation, and the New Fair Deal could potentially lead to emerging risks. Risk 4, Under performance of asset managers or asset classes, had been increased to an amber RAG rating due to difficulties with staff recruitment and retention at Brunel and the ongoing transition to a new pool. Risk 20, Significant change in liability profile or cash flow as a consequence of structural changes, had also been re-assessed to an amber rating due to the potential impact of local government reorganisation on the Fund's liability profile, including possible employer exits. Risk 18, Failure to Meet Government Requirements on Pooling, had been reduced to a green rating following the signing of a memorandum of understanding for the LGPS Central pool.

Governance and Communications Report

Mukhtar Master also presented the Governance and Communications Report, which had been presented to the Pension Fund Committee on 12 December 2025. The report included a log of all regulatory and data breaches. The Board was invited to review the report and was informed of a verbal update on the review of the Local Pension Board constitution. The report noted that the terms of office for two Member Representatives and the Independent Chair of the Local Pension Board were due for renewal and that the Board had agreed to their reappointment for a further four years. The report also provided an update on General Code of Practice Compliance 2025/26, indicating that the Fund was in a good position against the requirements of the General Code of Practice. A summary of the Pension Fund Committee training update was also included, detailing the progress of councillors and scheme member representatives in completing mandatory training. The report detailed regulatory breaches for the period July to September 2025, noting a reduction in data breaches compared to previous quarters. A communications update highlighted the development of a new Fund website, user acceptance testing for the member portal, engagement during Pension Awareness Week, and the successful launch of the Oxfordshire Pension Fund LinkedIn page.

Funding Strategy and Investment Strategy Reviews Update

Greg Ley, Financial Manager – Pension Fund Investment, provided an update on the Funding Strategy and Investment Strategy statement reviews. The draft Funding Strategy Statement had been issued for consultation to employers, with the consultation closing on 19 December 2025. The review of the Investment Strategy was being undertaken by Apex, with draft results expected by the end of December 2025. A workshop was planned for January 2026 for the Committee and Board to develop the Strategy, which would be presented to the March Committee meeting. Key areas for consideration included the balance of passive and active investment, the ability of the strategy to deliver income, alignment with climate change and responsible investment policies, setting appropriate benchmarks, and local investment. The report also noted the government's Fit For the Future consultation on LGPS reforms, which included requirements for Investment Strategy Statements.

Local Government Reorganisation Update

Mark Smith, Head of Pensions, provided an update on Local Government Reorganisation and its possible impacts on the Fund. The report explained that LGR aims to replace the current two-tier council system with larger unitary authorities. Oxfordshire had submitted three proposals for reorganisation, with a government decision expected in summer 2026 and new councils likely by 2028. The report highlighted potential implications for the Fund, including the need for a new Administering Authority, updated governance structures, and the management of increased administrative workloads. The Fund's priorities would remain focused on regulatory compliance, funding stability, and service quality, with officers continuing to monitor developments and support members and employers through the transition.

Other Items

The Board was also scheduled to review the minutes of the previous meeting held on 17 October 2025 and receive information arising from them. Additionally, the Board was to consider unconfirmed minutes of the Pension Fund Committee meeting held on 12 December 2025. The Board was invited to confirm the issues they wished to include in their latest report to the Pension Fund Committee and to identify any issues for the agenda of the next Board meeting. The agenda also included exempt items relating to Transitional Housing investment, Workforce Planning, 2025 Valuation Results, and LGPS Pooling Reform, for which the public would be excluded.