Decision details

The Sub Committee considered the report which provided a summary of the consultation process and approval of the Funding Strategy Statement for the latest triennial valuation of the Cheshire Pension Fund.  

During consideration of the report, it was asked if the employer pension contribution rate could be reduced earlier than the three-year valuation cycle.  In response it was confirmed that early reductions were not currently possible as pension valuations and contribution changes were formally reviewed every three years.  Any reductions depended on continuing strong fund performance and unchanged actuarial assumptions.  Greater and earlier engagement would take place ahead of the next triennial valuation, which was due to conclude in early 2029.

It was noted that the Cheshire Pension Fund had moved from being underfunded in the past to being 129% funded and that this strong position made it highly likely that the Fund could meet all future pension liabilities, allowing for reduced employer contributions.  

It was reported that the Council had engaged an external actuarial advisor to support the Council in their consultation response and to challenge the proposed levels of employer contribution. This had resulted in the Council receiving a reduction in the levels of employer contributions by 2% in 2026/27 and 2027/28 and 1% in 2028/29, which would generate savings for the Council.

RESOLVED:   That the Sub Committee

1               note the briefing paper summarising the key points in the items presented to the Cheshire Pension Fund Committee on 20 March 2026.

2        note the latest position with regards to the Funding Strategy Statement process and the approach taken with regards to the latest Cheshire East Council Pool triennial valuation.