LGPS E&W: Scheme improvements access and protection consultation

Commenting on the proposals, in the LGPS E&W: Scheme improvements access and protection consultation, to simplify the administration of the LGPS in England and Wales, Con Hargrave, GAP Consultant, Hymans Robertson, says: 

“We are supportive of the Government’s intentions to simplify the administration of the LGPS by reducing the number of employers via its new Fair Deal proposals and multi-academy trusts consolidation proposals. However, as with any simplification, it’s always more difficult to implement than the headline proposal suggests. 

“Careful thought will be needed on how some of the implementation risks and practicalities are managed. For academy consolidation, guarding against the risk identified in the consultation of contribution rate shopping will be top of the list, but consideration will also be needed on how to proportionally administer any future academy conversions after the initial consolidation exercise. 

“For Fair Deal, the proposed deemed employer route will potentially see funds receiving data and contributions for one fund employer from multiple different sources. Working out how to put suitable financial and administrative controls in place, and managing late payors, could cause more problems for funds than it solves.”

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