The Pensions Committee and Board of Haringey Council is scheduled to meet on Tuesday 17 March 2026 to discuss the Pension Fund's Responsible Investment Policy and its quarterly investment and performance update. The committee will also review the Pension Fund's business plan and budget for the upcoming financial year, alongside its actuarial valuation report.

Responsible Investment Policy

A key item on the agenda is the proposed Responsible Investment Policy, which has been developed following consultation with Pension Fund members. The policy aims to integrate environmental, social, and governance (ESG) considerations into all investment decision-making processes. The committee is recommended to note the consultation responses and provide any comments on the draft policy, with a view to approving it for implementation from April 2026. The report highlights that 87% of respondents felt it was important for the fund to consider ESG factors, and 71% agreed that the fund should seek to influence companies through engagement and stewardship. The policy outlines the fund's investment beliefs, governance structure, and approach to stewardship, engagement, and exclusions. It also details the fund's engagement framework, which includes steps for identifying ESG risks, assessing materiality, and escalating actions if engagement fails, potentially leading to reduced exposure or divestment.

Pension Fund Quarterly Investment and Performance Update

The committee will receive an update on the Pension Fund's performance for the quarter ending 31 December 2025. The fund's investment portfolio stood at £2.09 billion on 31 December 2025, showing a 2.3% increase over the quarter, largely attributed to strong returns on equities. The report includes an overview of fund performance relative to its strategic benchmark, an update on the funding position, and individual investment manager performance over rolling three-year periods. The strategic asset allocation has been updated to reflect a reduction in holdings in the LCIV Buy and Maintain fund and an increase in Index Linked Gilts. The report also details the transition of remaining un-pooled assets to LCIV management to meet the asset-pooling deadline of 31 March 2026. An update on engagement activities by the Local Authority Pension Fund Forum (LAPFF) is also included, with a focus on climate change issues. The independent advisor's market commentary for the quarter highlights strong global equity performance, supported by moderating inflation, positive company earnings, and interest rate cuts by the US Federal Reserve.

Pension Fund Business Plan and Budget for 2026/27

The committee is asked to approve the Haringey Pension Fund Business Plan and Budget for the financial year 2026/27. This plan outlines the fund's strategic direction and business priorities, incorporating both routine activities and strategic initiatives aimed at enhancing member experience, strengthening governance, and improving operational effectiveness. The budget has been developed based on projected expenditure for 2025/26, considering anticipated workflows, external support costs, and any additional resourcing requirements. The plan also addresses forthcoming regulatory and legislative changes affecting the Local Government Pension Scheme (LGPS).

Haringey Pension Fund Actuarial Valuation Report

The committee will be presented with the outcome of the actuarial valuation exercise as at 31 March 2025. The report from the Fund's Actuary, Hymans Robertson, details the fund's valuation results, including revised contribution rates for employers for the period 1 April 2026 to 31 March 2029. The report indicates a significant improvement in the fund's funding position, with a reported funding level of 139% as at 31 March 2025, compared to 113% at the 2022 valuation. This improvement is attributed to stronger-than-expected investment returns and higher interest rates. An updated Funding Strategy Statement (FSS) is also presented for approval, following a consultation period that concluded on 31 January 2026 with no substantive feedback requiring amendments. The FSS outlines the fund's approach to measuring employer liabilities, the pace of funding, and how employers contribute to their liabilities.

Governance Review Implementation Plan

An update on the implementation of recommendations from the fund's governance review will be provided. The review identified 26 recommendations categorised as fundamental and urgent, easily implementable, or to be implemented from 2025/26. The report details the progress made on these recommendations, with several items marked as 100% complete, including the development of a medium-term business plan and annual budget, engagement with the London CIV, and the redesign of the risk register. Other recommendations are at 50% progress, with ongoing work on internal audit plans and policy reviews.

Risk Register

The committee will review the Pension Fund's risk register, which has been updated to align with The Pensions Regulator's (TPR) General Code of Practice (2024). The updated register includes new columns for risk cause, consequence, and owner, allowing for more detailed categorisation and management of risks. Key identified risks include regulatory non-compliance and maladministration, loss or corruption of scheme data due to cyber incidents, and poor investment governance and oversight, particularly with the transition of assets to the LCIV. The report outlines actions taken to manage and mitigate these risks.

Pension Administration Update

An update on the Pension Fund's administration activities for the quarter ending 31 December 2025 will be provided. This includes information on pension fund membership, the online Member Self Service portal (now replaced by the Engage portal), service level agreement statistics, and the collection of employer and employee contributions. The report notes that while performance is strong in areas such as retirements and deaths, outcomes for transfer cases remain below the desired standard, with plans in place to address this through a structured training programme. Updates on the McCloud Project and the implementation of the Engage portal are also included.

Other items

The agenda also includes the confirmation of minutes from the previous meeting, a record of training undertaken, and consideration of any urgent business or deputations. Items 18-22 are likely to be considered in private session as they contain exempt information.