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There is no summary of this meeting yet. One is written once the council publishes the minutes. The agenda and papers are below.
Apologies were received from Cllr Adam Kennerley.
Members of the Committee declared interests as members of the Local Government Pensions Scheme. These are personal interests, not prejudicial interests in accordance with Paragraph 12(b) (iv) of the Members Code of Conduct 2016. Dafydd Edwards declared an interest in Item 6: Wales Pension Partnership Update as a pending member of the IMCo board. It was agreed that Dafydd would depart the meeting for the duration of the item.
The Committee approved the minutes of the 12th December 2025 and 24th February 2026.
The Chair noted that it was a busy time and thanked Members of the Committee for their contributions during the recent presentation to Full Council. Chair welcomed the positive feedback received from members regarding the committee’s progress, particularly noting the swift timeline of recent work. The Chair noted his recent attendance at the LGC Investment Seminar in Chester the previous week, describing it as very interesting and concluded by acknowledging that there is still a significant amount of work ongoing, as reflected in the agenda.
Chris Hurst, Pension Fund Manager noted the following: • Periodic reviews of the risk register had been completed, with updates noted in section 6.2. • No changes had been made to risk scores or risk wording. • Further detailed work on the risk register was planned with the new Governance Officer. • The matter had also been discussed at the Pension Board meeting on 11 February. • No new breaches had been recorded since the previous meeting. Decision: The Committee noted the report.
The Committee received an update from Chris Hurst, Pension Fund Manager on the Wales Pension Partnership (WPP) business plan for 2026–27 and the Investment Management Company (IMCO) business plan for the forthcoming year. It was explained that the year 2026–27 would be a transition period as responsibilities moved from the current WPP operating model to the new IMCO structure. It was highlighted that there were now two business plans: • The WPP business plan – covering the work of the Joint Governance Committee (JGC) and constituent authorities in their role as clients and shareholders. • The IMCO business plan – setting out IMCO’s operational priorities and budget for its first year. The objectives within the WPP business plan were summarised, including: • Ensuring compliance with Fit for the Future legislation. • Exercising collective oversight of IMCO as both clients and shareholders. • Monitoring investment performance, cost effectiveness, and implementation of the responsible investment (RI) policy. • Considering opportunities for investment within Wales. It was confirmed that the WPP business plan had already been approved by the Joint Governance Committee in March and now required local approval. The IMCO business plan was introduced, noting that IMCO had increased its operating budget from £7m to £9m for the first year to ensure sufficient staffing and resources from day one. It was reported that the JGC considered this increase reasonable and necessary for IMCO to function effectively. IMCO also intended to produce a longer-term five‑year business plan by April 2027. The Chair informed members that Rob Lamb’s accompanying letter was a particularly clear explanation of how IMCO intended to operate, and encouraged members to read it. Issues Raised by the Committee Responses Received Clarification of the role of the Committee in the new governance structure was requested, noting that the Council’s representative served on the Joint Governance Committee. It was explained that the Committee’s primary responsibility would be to set the investment strategy. The JGC and the officer working group would then monitor IMCO’s delivery of that strategy. Strategy setting would remain local but monitoring and oversight would also take place through WPP governance channels. It was asked whether the Committee still had scope to address underperformance if managers failed to meet expected performance levels and whether the referenced 15% tolerance applied to this. Officers clarified that the 15% figure related to the budget tolerance within the WPP business plan, not investment performance. The tolerance allowed budget increases of up to 15%; anything beyond that would require further shareholder approval. How could the Committee check that policies—such as the Responsible Investment Policy—were being adhered to. It was confirmed that policy oversight would occur through the Joint Governance Committee, where the Pensions and Investment Committee Chair could raise issues. Officers would also feed the Committee’s views into the officer working group in the same manner as the current arrangements. Was the Committee able to influence areas such as responsible investment decisions in future. Officers confirmed that the Committee would continue to set strategy and responsible investment parameters. It was noted that although IMCO would choose how to implement the strategy operationally, it must do so within the parameters set by the Committee—particularly those expressed through the RI policy. What were the costs and fees associated with the change to the IMCO model and had baseline figures existed for comparison. It was advised that cost information was included in the Fit for the Future business case submitted in February 2025 and agreed to re‑share it with the Committee. Officers noted that the new pooling model would be more expensive but necessary to retain Welsh ownership and ensure alignment with local objectives and RI beliefs. Was IMCO theoretically open to competition as a service provider, given its status as a company serving the Welsh funds. Officers stated that they were unsure whether competition was envisaged and confirmed that there was no intention to seek alternative arrangements. Jane Thomas, Director of Corporate Services, added that IMCO was owned by its shareholders—meaning the funds themselves—which distinguished it from an outsourced provider. Is IMCo open to competition Will review – not sure. Our company so different to procuring a company. Decision: • The Committee approved the WPP Business Plan for 2026–27. • The Committee approved the IMCO Business Plan for its first operational year.
The Committee resolved to consider the remaining items in confidential session, in accordance with the Monitoring Officer’s recommendation under Category 3 of the Access to Information Procedure Rules.
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