Dan Peters 24 March 2014

Stark warning over local authority pensions

Stark warning over local authority pensions image

The chairman of the London Pensions Fund Authority (LPFA) has issued a stark warning about the crisis facing local government pensions.

Speaking at a Greater London Authority oversight committee meeting, Edmund Truell said his organisation needed to take investment risk to raise the money to pay everyone’s pension.

Mr Truell said London taxpayers would eventually have to pick up any shortfall and suggested the ‘best chance’ of paying everyone’s pension would be to run a ‘single, unified portfolio’.

He told the committee: ‘There was and is a shortfall of assets against liabilities.

‘The LPFA is not exactly unusual in that regard.

‘I would suggest that just about every local authority pension fund in the land faces the same shortfall versus liabilities.’

For your free daily news bulletin

Public Property

Latest issue - Public Property News

This issue of Public Property examines how how flexible workspaces can lead the way in regeneration for local authorities, Why local authority intervention is key to successful urban regeneration schemes and if the Government’s challenge of embracing beauty is an opportunity for communities.

The March issue also takes a closer look at Blackburn with Darwen Council's first digital health hub to help people gain control over health and care services.

Register for your free digital issue