LGPS – Scheme improvements (access and protections) – Consultation Response Part 1

Hot on the heels of the government’s response to the “Access and fairness” consultation, The Ministry of Housing, Communities and Local Government (“MHCLG”) has published part 1 of its response to the Scheme improvements (access and protections) consultation (the “Consultation”). 

The Consultation ran from 13 October 2025 to 22 December 2025 and covered four proposals relating to access to the LGPS and its benefits around: 

• Normal Minimum Pension Age 

• pension access for mayors and councillors 

• academies in the LGPS 

• new Fair Deal

Response – Part 1

Part 1 of its response to the Consultation deals only with pension access for elected members, which includes:

• all mayors and deputy mayors in England

• all councillors at principal authorities in England

• all London Assembly members

It is understood that part 2 of its response to the Consultation covering the remaining consultation policy proposals will be published later in 2026 (although no further details have been provided on the timescale for this). 

Pension Access for Elected Members 

As confirmed in the Consultation, currently under the LGPS Regulations, neither mayors nor councillors are eligible for membership of the LGPS in England.  This is different to the rest of the UK where councillors are eligible for the LGPS in Scotland and Northern Ireland, and councillors in Wales are eligible for membership of a modified version of the LGPS England & Wales. 

It its response, the government has confirmed that it will proceed with its proposals to grant mayors and councillors in England access to the LGPS following significant support to the measure from respondents to the Consultation. 

Next Steps 

Draft regulations in relation to access for elected members were published at the same time as the Consultation and MHCLG has confirmed that it intends to lay the statutory instrument next month, with the regulations coming into force on 11 May 2026 (being the first Monday after the upcoming local elections).  This will then mean that elected members will be able to join the scheme for the 2026/2027 scheme year onwards.   

In its response, the government acknowledged that the software used by LGPS pension funds may not be updated in time for May 2026 to allow for elected member access and therefore some urgent calculations (such as those relating to deaths and transfers) will potentially need to be done by LGPS pension funds manually until the software updates have been completed. 

LGPS software providers have been tasked with updating their systems to allow for elected member participation during the 2026/2027 scheme with a view to annual benefit statements for elected members being issued by the end of August 2027 in line with normal statutory requirements for scheme members. 

Comment 

While the government’s decision on access for elected members will further add to the workload of LGPS funds (and their software suppliers) during what is already a busy time for them, it is helpful that it has confirmed the position before the upcoming local government elections. 

Hopefully part 2 of the government’s response to this Consultation (around National Minimum Pension Age, academies in the LGPS and new Fair Deal) will be published in the not too distant future but perhaps responses on some of these areas may not have been as supportive as for the proposals in relation to elected members (hence the delay in providing a response on these areas).