LGPS Investment Outlook 2026

2025 was a year of significant change for the LGPS, marked by major reforms, challenging implementation timescales, and the need for funds to adapt quickly to new governance and investment requirements. As we look ahead to 2026, this outlook provides analysis, practical guidance, and expert commentary to help funds and pools navigate the evolving landscape.

We take a look at the upcoming key themes for 2026: 

• The government’s ‘Fit for the Future’ reforms are moving ahead, with new legislation and guidance reshaping how LGPS investments are managed.
• Local investing in 2026: turning strategy into action
• From April 2026, pools will be responsible for all aspects of investment advice and implementation. Funds must conduct due diligence, establish monitoring frameworks, and ensure strong governance.
• Diversification remains fundamental to LGPS investment strategy, helping to manage risk and improve resilience.
• Market outlook for 2026

You can download the full outlook publication below. 

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If you have any questions on anything covered in this publication, please get in touch.

Important information

This communication has been compiled by Hymans Robertson LLP® (HR) as a general information summary and is based on its understanding of events as at the date of publication, which may be subject to change. It is not to be relied upon for investment or financial decisions and is not a substitute for professional advice (including for legal, investment or tax advice) on specific circumstances. HR accepts no liability for errors or omissions or reliance on any statement or opinion. Where we have relied upon data provided by third parties, reasonable care has been taken to assess its accuracy; however, we provide no guarantee and accept no liability in respect of any errors made by any third party.