Employers

The Local Government Pension Scheme is available to all employees of local authorities other than teachers, fire personnel and a number of Public Health staff for whom separate pension arrangements apply. Employees are able to join the scheme if they have a contract of employment of three months or more duration.

Other specified bodies providing public services are included by statute, or may apply for admission to join the scheme. The types of employers within the scheme are:

1. Scheduled bodies
   Employers such as the County Council (including maintained schools), academies and district and borough councils. Employees of scheduled bodies are automatically entitled to be members of the fund.
2. Designated bodies
   These are organisations such as parish and town councils whose employees are able to join the scheme if the employer designates that they can.
3. Admitted bodies
   These are voluntary, charitable and, in certain circumstances, private sector organisations carrying out scheduled bodies’ contracts, where staff can become members of the scheme by virtue of an Admission Agreement between the pension fund and the relevant body.

At 31 March 2024 there were 529 employers in the Herts Pension Fund

The table below provides an analysis of scheduled and admitted bodies at 31 March 2024 and an analysis of active employers and employers that have ceased (these are employers with no active members but with outstanding liabilities). Admitted bodies may have more than one admission agreement relative to the service contracts they hold with scheduled bodies

Funding

The scheme is a funded scheme, financed by contributions from employees and employers and by earnings from investments. We have published a Funding Strategy Statement, which sets out our fund's strategy for meeting employers’ pension liabilities and details the method and assumptions used to calculate employer contribution rates. The aim of the funding strategy is to ensure the long-term solvency of the pension fund and to ensure that sufficient funds are available to meet all benefits as they fall due for payment.

Employer Contributions

Employer contributions are payable at rates specified by the pension fund actuary and are reviewed each triennial valuation (the next triennial valuation will take place in 2026). Rates are adjusted to reflect changes in employer’s membership profiles and funding levels in the pension fund. The current employer contribution rates are set out within the rate and adjustments Certificate published within the scheme’s Valuation Report.

Investment Income

The cash, which is not immediately required to pay pensions and other benefits, is invested, and provides an additional source of income for our fund. Fund investments are detailed within the Investment Strategy Statement (ISS) which details investment strategy, asset allocation, risk analysis, and our approach to environmental, social and corporate governance (ESG) considerations.

Local Pension Partnership Administration (LPPA)

We work in partnership with LPPA who administer the pension scheme on our behalf. LPPA work closely with the our scheme to help them meet their obligations by providing training and support. Through the LPPA website, employers can access training resources, guides and processes as well as the employer portal, through which they are required to upload their scheme members’ data.