Agenda and draft minutes

Apologies were received from Councillors Dan Levy and Nick Field-Johnson, and Lorna Baxter, Deputy Chief Executive (Section 151 Officer).

None received.

Members of the public who wish to speak at this meeting can attend the meeting in person or ‘virtually’ through an online connection. To facilitate ‘hybrid’ meetings we ask that requests to speak are submitted by no later than 9.00 a.m. three working days before the meeting: 9.00 a.m. on Tuesday 3 March 2026.

Requests to speak should be sent to Committeesdemocraticservices@Oxfordshire.gov.uk If you are speaking ‘virtually’, you may submit a written statement of your presentation to ensure that if the technology fails, then your views can still be taken into account. A written copy of your statement can be provided no later than 9.00 a.m. 2 working days before the meeting: 9.00 a.m. 4 March 2026. Written submissions should be no longer than 1 A4 sheet.

Andrew Finney of Fossil Free Oxfordshire addressed the Committee on Item 14. Presentation from LGPS Central, a copy of which is attached to these minutes.

To approve the minutes of the meeting held on 12 December 2025 and to receive information arising from them.

The minutes of the meeting held on 12 December 2025 were agreed as a correct record of the meeting.

10.05am

A copy of the unconfirmed minutes of the Local Pension Board, which met on 23 January 2026 is attached for information only.

The Committee RESOLVED to note the unconfirmed minutes of the Local Pension Board meeting which had met on 23 January 2026.

10.10am

The report sets out the items the Local Pension Board wishes to draw to the attention of this Committee following their last meeting on 23 January 2026.

The Committee is RECOMMENDED to note the comments of the Board as set out in the report.

Alistair Bastin, Local Pension Board member introduced the report which set out the items the Local Pension Board wished to draw to the attention of the Committee following their last meeting.  He drew the Committee’s attention to the outstanding training requirements for one committee member, the ongoing need for employer representation on the board, and workforce resource challenges.

In response to a query regarding the current progress of committee members not meeting the training policy requirements, Mark Smith, Head of Pensions advised that only one member remained to complete all of the required modules, and that individual would not be able to vote in the committee until this was completed.

In response to the risks highlighted to quorum and effective representation with an ongoing vacancy on the Board, the Committee noted that this would be recorded and they would endeavour to encourage suitable candidates from District Councils to apply.

Mukhtar Master, Governance and Communications Manager provided an update on upcoming training requirements, including a comprehensive online training programme starting in April, a national knowledge skills assessment schedule for September, and the availability of bespoke training sessions for committee members.

The Committee acknowledged the ongoing workforce challenges, including staff vacancies and the need for improved employer engagement.  These issues were noted for further discussion under the workforce strategy agenda item.

The Committee RESOLVED to note the comments of the Board.

10.15am

This report proposes a Business Plan, Budget and Training Plan for the forthcoming financial year. The report also includes a review against the key priorities set out in the Annual Business Plan for 2025/26 and an update on the Fit for the Future consultation.

The Committee is RECOMMENDED to:

i)      Note the progress against the service priorities for 2025/26; and

ii)    Approve the Business Plan, Budget, Training Plan and Cash Management Strategy for 2026/27; and

iii)   To confirm the appointment of the LGPS Central Shareholder representative as the Head of the Pension Fund role.

Mark Smith, Head of Pensions presented the report of the Deputy Chief Executive (Section 151 Officer) which proposed a Business Plan, Budget and Training Plan for the forthcoming financial year.  The report also included a review against the key priorities set out in the Annual Business Plan for 2025/26 and an update on the Fit for the Future consultation.

Mark Smith summarised the improvements made in governance, administration and investment, including compliance with the General Code of Practice, high data quality scores and completion of the strategic asset allocation review. 

He advised the Committee that the proposed budget for 2026/27 was £31.193 million, which was a 16.6% increase driven mainly by higher investment management expenses due to increased asset values and staffing costs.  The Committee discussed the need to monitor transition costs and ensure value for money and requested that an update be bought to the next meeting.  (ACTION)

Following concerns raised by the Committee regarding the level of training available to them, they requested more structured and regular training, including refresher training sessions before meetings and tailored recommendations for advanced courses.  It was agreed that sessions would be scheduled into the meeting programme and that Officers would provide support for the upcoming national knowledge assessment.

The Committee confirmed the appointment of the Head of Pensions as the LGPS Central Shareholder representative, clarifying the distinction between this role and the Section 151 Officer’s delegated powers.

The Committee RESOLVED to:

i)                Note the progress against the service priorities for 2025/26; and

ii)              Approve the Business Plan, Budget, Training Plan and Cash Management Strategy for 2026/27; and

iii)             To confirm the appointment of the LGPS Central Shareholder representative as the Head of Pension Fund role.

10.45am

This report will present the latest position on the Fund’s risk register, including any new risks identified since the report to the last meeting. 

The Pension Fund Committee is RECOMMENDED to note the latest risk register and accept that the risk register covers all key risks to the achievement of their statutory responsibilities, and that the mitigation plans, where required, are appropriate.

Mukhtar Master, Governance and Communications Manager presented the report of the Deputy Chief Executive (Section 151 Officer) which presented the latest position on the Fund’s risk register, including any new risks identified since the report to the last meeting.

He provided further information regarding Risk 25, a new risk related to access and fairness regulations, which may be unachievable due to system constraints, and ongoing risks from the Brunel transition, and the potential loss of FCA status, and the failure of pooled vehicles to meet local objectives.

In response to a query regarding how the Brunel transition would be monitored and key staff retained, the Committee requested that backup plans and paths to reduce risk be provided and updated at each meeting.  (ACTION)

The Committee discussed the implications of local government reorganisation and the need to update the risk register to reflect migration paths.  It was agreed that this would be picked up in the private session later on the agenda.

The Pension Fund Committee RESOLVED to note the latest risk register and accept that the risk register covered all key risks to the achievement of their statutory responsibilities, and that the migration plans, where required, were appropriate.

10.55am

This report covers the key governance and communication issues for the Fund, including a report on any breaches of regulation in the last quarter. The report also covers the recent Cyber Security review undertaken by the Fund.

The Pension Fund Committee is RECOMMENDED to

a)    Note the Fund’s annual review of Cyber Security.

b)    Note the Fund’s update on General Code of Practice Compliance 2025/26.

c)    Note the Pension Fund Committee training update. 

d)    Note the latest quarter’s breaches for the fund.

e)    Note the communications update.

Mukhtar Master, Governance and Communications Officer presented the report of the Deputy Chief Executive (Section 151 Officer) which covered the key governance and communication issues for the Fund, including a report on any breaches of regulation in the last quarter.

He also presented the annual cyber security review, which had found no critical issues with most third-party suppliers providing assurance.  The Committee requested confirmation of external penetration testing for both internal systems and key suppliers, including LGPS Central and Convera.  (ACTION)

Mukhtar Master informed the Committee that all but one member had fully completed all of the training requirements to enable them to sit on the Committee, and that member that had not completed training would be unable to vote until the training had been completed.  The Committee requested that communications be made in clear lay-person friendly language and regular training updates be provided alongside Committee meetings.

The Committee were also provided with an update on compliance with the General Code of Practice, and were informed that all but one compliance module had been completed, with full compliance expected by March 2026.  An independent oversight and challenge was planned for the following year.

The Pension Fund Committee RESOLVED to:

a)    Note the Fund’s annual review of Cyber Security.

b)    Note the Fund’s update on General Code of Practice Compliance 2026/26.

c)    Note the Pension Fund Committee training update.

d)    Note the latest quarter’s breaches for the fund.

e)    Note the communications update.

11.05am

This report updates the Committee on the key administration issues including service performance measurement, the debt recovery process and any write offs agreed in the last quarter. 

The Committee is RECOMMENDED to:

a)    note the report

b)       approve the changes made to the Key Performance Indicators in the Administration Strategy.

Vicki Green, Pension Services Manager presented the report of the Deputy Chief Executive (Section 151 Officer) which updated the Committee on the key administrative issues including service performance measurement, the debt recovery process and any write offs agreed in the last quarter.

She highlighted the level of casework volume, current staff vacancies and improvements in processing.  The Committee were informed that the new member portal had been launched, and they continued to work towards completing backlogs and employer compliance issues.

In response to a query raised regarding the level of outstanding casework queries, Vicki Green informed the Committee that the administration team had processed 10,369 cases in the last quarter, which was a 5.5% increase in completion rate, and this was attributed to the use of agency staff.  Despite these improvements, backlogs remained high due to high incoming volumes, and the current level of staff vacancies which totalled nine at the time of the meeting.  The team had currently four agency staff employed to assist the team.

The Committee were provided with an update on the use of automation and has Vicki advised that she had initiated contact with West Midlands for AI solutions.  It was also noted that employer engagement was being addressed to improve data quality and compliance.

The Committee expressed concerns that the new member self-service portal that was launched in January could cause some confusion for members as users were required to re-register.  They requested that appropriate measure were taken to ensure that members were not lost during transition to the new portal.

The Committee approved the changes to key performance indicators which had been consulted on with employers and are aligned with national standards to alleviate team pressures and prioritise statutory deadlines.

The Committee RESOLVED to:

a)    Note the report;

b)    Approve the changes made to the Key Performance Indicators in the Administration Strategy.

11.25am

This report will cover an overview of the financial markets, the overall performance of the Fund’s investments against the Investment Strategy Statement and commentary on any issues related to the specific investment portfolios.  The report includes the quarterly investment performance monitoring report from Brunel.

John Arthur, Independent Financial Advisor presented the report which provided an overview of the financial markets, the overall performance of the Fund’s investments against the Investment Strategy Statement and commentary on any issues related to specific investment portfolios.  The report included the quarterly investment performance monitoring report from Brunel.

He reported that, despite geopolitical instability, the Fund had achieved positive returns, with Global Equities increasing by 21% in local currency terms over the past year.  However, it was noted that the three-to-five-year fund performance had lagged benchmarks, primarily due to underperformance in the global high alpha and sustainable equity portfolios managed by Brunel.

It was highlighted to the Committee that asset allocation changes which had increased UK exposure, inflation linked assets and infrastructure, and reduced US equity exposure, and the implications for the future strategy was discussed alongside the rationale for these moves.

In response to a query raised by the Committee regarding the effects of management costs on pooling, John Arthur advised that whilst pooling had reduced management costs and broadened investment options, it had not consistently delivered outperformance through manager selection.  The Committee noted the difficulties of selecting active managers and the potential for more passive strategies.

The Committee expressed their concerns regarding the need for an independent advisory role to the committee to ensure accountability and challenge, especially in light of the investment decision making shifts whilst moving to the new Pool.

The Committee thanked John Arthur and noted the Independent Financial Advisor’s report.

11:45am

This item provides the opportunity to raise any issues concerning Corporate Governance and Socially Responsible Investment which need to be brought to the attention of the Committee.

The Committee is RECOMMENDED to note the contents of the report.

Josh Brewer, Responsible Investment Officer presented the report of the Deputy Chief Executive (Section 151 Officer) which provided the opportunity to raise any issues concerning Corporate Governance and Responsible Investment which needed to be brought to the attention of the Committee.

Josh Brewer presented an update on responsible investment activities, including the results of a member survey on investment priorities, engagement with companies such as Microsoft, and the climate alignment process.

The Committee were advised that the member survey of approximately 2,000 members indicated strong support for responsible investment, with two-thirds prioritising positive impact and one-third prioritising financial returns.  The survey had also explored attitudes towards defence, aerospace and local investment, and the Committee discussed the survey methodology used, and if sector definitions were appropriate and easily understood by users.

Josh Brewer also provided an update on the climate alignment process, noting that 12 companies were identified as climate controversial, with recommendations for divestment from three of those.  The Committee stated its intention to share its robust framework with LGPS Central, and seek alignment with them for responsible investment practices.

The Committee RESOLVED to note the contents of the report.

The Committee is RECOMMENDED that the public be excluded for the duration of items 14, 15 and 16 in the Agenda since it is likely that if they were present during those items there would be disclosure of exempt information as defined in Part I of Schedule 12A to the Local Government Act 1972 (as amended) and specified in relation to the respective items in the Agenda and since it is considered that, in all the circumstances of each case, the public interest in maintaining the exemption outweighs the public interest in disclosing the information.

THE REPORTS RELATING TO THE EXEMPT ITEMS HAVE NOT BEEN MADE PUBLIC AND SHOULD BE REGARDED AS STRICTLY PRIVATE TO MEMBERS AND OFFICERS ENTITLED TO RECEIVE THEM.

The Committee RESOLVED that the public be excluded for the duration of Items 14, 15, and 16 on the Agenda since it was likely that if they were present during those items there would be disclosure of exempt information as defined in Part 1 of Schedule 12A of Page 10 the Local Government Act 1972 (as amended) and specified in relation to the respective items in the Agenda and since it was considered that, in all circumstances of each case, the public interest in maintaining the exemption outweighed the public interest in disclosing that information.

12.30pm

LGPS Central will provide Committee a verbal update and presentation on the transition of assets.

The Committee received a verbal update from Russell Oades, Client Director at LGPS Central and discussed the item in private session.

Following detailed discussions, the Committee requested that they be provided with a detailed transition plan which provided more information on the funds Oxfordshire Pension Fund would move into under LGPS Central, including their structure and performance.  (ACTION)

The Committee thanks Russel Oades for his presentation.

13.40pm

This report provides Committee an update on progress made on the workforce planning project. Aon will also present their report, which is an annex to this report, to the Committee.

The Committee is RECOMMENDED to:

i)       Note the update; and

ii)     Note the benchmarking report and salary survey and instruct officers to use this data in support of discussions with Oxfordshire County Council as part of the organisational redesign; and

iii)    Approve the approach to addressing loss of experience staff and challenges due to increased requirements from Government on LGPS Funds.

The Committee received an update on progress made on the workforce planning project.  Aon presented their report, which was provided as an annex to this report.

The Committee discussed the item in private session.

The Committee RESOLVED to:

i)                Note the update; and

ii)              Note the benchmarking report and salary survey and instruct officers to use this data in support of discussions with Oxfordshire County Council as part of the organisational redesign; and

iii)             Approve the approach to addressing loss of experienced staff and challenges due to increased requirements from Government on LGPS Funds.

12.50pm

This report provides Committee with an update on and seeks approval of the:

-        2025 valuation and certification of employer results

-        Strategic Asset Allocation

-        Investment Strategy Statement

-        Funding Strategy Statement and supporting policies

The Committee is RECOMMENDED to:

i)      Note the progress on finalising the 2025 valuation; and

ii)    Review the responses to the consultation exercise and note the comments from employers; and

iii)   Approve the final version of the Funding Strategy Statement (and linked policies) to support the 2025 Valuation exercise

iv)   Note the Strategic Asset Allocation Review report and instruct officers to use the proposed detailed asset allocation for the basis of discussions with LGPS Central on portfolio construction and implementation.

v)    Approve the Investment Strategy Statement to be issued for consultation.

vi)   Approve the Local Investment Policy to be issued for consultation.

vii) Approve the Cash Management Policy to be issued for consultation.

The Committee received a report from the Deputy Chief Executive (Section 151 Officer) which provided an update on and sought approval of the:

-        2025 valuation and certification of employer results

-        Strategic Asset Allocation

-        Investment Strategy Statement

-        Funding Strategy Statement and supporting policies.

The Committee discussed the item in private session. 

Following discussion, the Committee requested that LGPS Central work through the concerns raised by the Committee in this meeting, and that they present detailed estimates of transition costs for each asset class and provide a post-transition report comparing estimated and actual costs to the Committee.  (ACTION)

The Committee RESOLVED to:

i)                Note the progress on finalising the 2025 valuation; and

ii)              Review the responses to the consultation exercise and note the comments from employers; and

iii)             Approve the final version of the Funding Strategy Statement (and linked policies) to support the 2025 Valuation exercise.

iv)             Note the Strategic Asset Allocation Review report and instruct officers to use the proposed detailed asset allocation for the basis of discussions with LGPS Central on portfolio construction and implementation.

v)              Approve the Investment Strategy Statement to be issued for consultation.

vi)             Approve the Local Investment Policy to be issued for consultation.

vii)           Approve the Cash Management Policy to be issued for consultation.