The Government has given the go-ahead to merge two local government pension funds.
It has confirmed it has decided to proceed with the merger of the Northumberland Pension Fund and the Tyne and Wear Pension Fund.
It is estimated that the newly merged fund will generate savings of up to 12% per annum, with all costs offset within three years.
The Government response stated: 'After careful consideration, the Government has decided to proceed with the merger of the two pension funds.
'The joint application which was submitted to the secretary of state in December 2019 set out a strong case for the merger of the two funds and outlined the support from key parties including both local pensions committees, both local pension boards and the six principal local authorities in the area.'