Agenda item

Fund Financial Management

Report of the Tri-Borough Director of Treasury and Pensions.


11.1    The Chairman sought the reasons for the spike in the bank balance regarding cashflow for July/August 2017. In respect of the Risk Register, she asked if there was a risk listed associated with Brexit and noted that one risk was rated red after taking the mitigating actions into account. The Chairman also asked how redundancies and early retirements were funded and when was the Discretionary Policies paper and progress on compliance with the TPR Code of Practice were due to be considered. Members asked if pension contribution rates were rising by a small amount.


11.2    In reply, Matthew Hopson advised that spike in cashflow in July/August 2017 was attributable to deficit recovery payments. Future reports would explanations of cashflow spikes in the narrative. Matthew Hopson advised that there were no concerns with the current cashflow position. In respect of pension contributions, these were based on an inflation rate of 2%, but this could be revisited. The Board noted that People Services were due to produce a report on compliance with the TPR Code of Practice at a future meeting.


 11.3   Phil Triggs advised that risk 8 in the Risk Register covered risk in respect of Brexit. Redundancy payments were paid through the General Fund, whilst early retirements were funded through lump sum costs to the Fund. A Discretionary Policies paper was due to go the Pension Fund Committee in December and the Board in January 2019. Phil Triggs welcomed any suggestions for topics for the Board’s 2019/20 forward plan.


11.4    RESOLVED:


1.    That the Risk Register for the Pension Fund be noted.


2.    That the cashflow position and three year forecast be noted.


3.    That the forward plan for 2018/19 and 2019/20 be noted.

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