Councillors in England to get LGPS access in May
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The government will go ahead with giving elected mayors and councillors in England access to the Local Government Pension Scheme. This will be on an opt-in basis from the Monday after the May elections. An updated statutory instrument will be laid in parliament “shortly”.
The Ministry of Housing, Communities and Local Government had proposed giving elected representatives access to the LGPS in a wider consultation last October and has now published a partial response to that consultation.
Councillors in Scotland, Wales and Northern Ireland can already join the LGPS, and the government said the change will give mayors and councillors in England the same rights. It argues that having access to the LGPS will attract more people to these roles, especially younger candidates, saying they often permit little or no time for employment.
The majority of respondents agreed that mayors and councillors should get LGPS access, although there was no consensus on whether this should be automatic or on an opt-in basis. The government has chosen to stick with its original proposal to make it opt-in but reminded local authorities to communicate the benefit.
The Ministry of Housing, Communities and Local Government had proposed giving elected representatives access to the LGPS in a wider consultation last October and has now published a partial response to that consultation.
Councillors in Scotland, Wales and Northern Ireland can already join the LGPS, and the government said the change will give mayors and councillors in England the same rights. It argues that having access to the LGPS will attract more people to these roles, especially younger candidates, saying they often permit little or no time for employment.
The majority of respondents agreed that mayors and councillors should get LGPS access, although there was no consensus on whether this should be automatic or on an opt-in basis. The government has chosen to stick with its original proposal to make it opt-in but reminded local authorities to communicate the benefit.
Those against giving access cited conflicts of interest, especially for councillors sitting on pension committees, cost and not wanting elected office to be seen as a career with benefits.
Some respondents had argued that elected representatives should have access to a modified version of the LGPS, as is the case in Wales. MHCLG said there was not enough time to put this in place now but that “the government will continue discussions with the Welsh government and decide in future if alignment is necessary”.
The changes will come in on the Monday after the 7 May local elections, to give more time to adjust IT systems and avoid some councillors joining the scheme for a short period before leaving again.
As well as giving LGPS access to local politicians, the October consultation proposed raising the normal minimum pension age to 57 for more recent joiners, making it easier for academies to join the fund of a different local authority, and applying new Fair Deal protections to outsourced workers.
Earlier this month, MHCLG confirmed it will move ahead with separate LGPS access and fairness proposals, making changes to eligibility for survivor pensions and introducing gender pension gap reporting among others.
Some respondents had argued that elected representatives should have access to a modified version of the LGPS, as is the case in Wales. MHCLG said there was not enough time to put this in place now but that “the government will continue discussions with the Welsh government and decide in future if alignment is necessary”.
The changes will come in on the Monday after the 7 May local elections, to give more time to adjust IT systems and avoid some councillors joining the scheme for a short period before leaving again.
As well as giving LGPS access to local politicians, the October consultation proposed raising the normal minimum pension age to 57 for more recent joiners, making it easier for academies to join the fund of a different local authority, and applying new Fair Deal protections to outsourced workers.
Earlier this month, MHCLG confirmed it will move ahead with separate LGPS access and fairness proposals, making changes to eligibility for survivor pensions and introducing gender pension gap reporting among others.
