Agenda item

The Committee considered a report of the Corporate Director of Resources which provided an update on the overall value of the Pension Fund’s investments at 31 December 2019, the movement in the cash balance during the last four quarters, and the projected cash flow position up to 31 March 2021 (for copy see file of Minutes).

Councillor Kellett noted the estimated increase in net cash inflow in the next quarter, and was advised that the forecast included Durham County Council’s pension deficit contribution to be paid in a single lump sum in April 2020.

Following a question from Councillor Atkinson, Officers clarified that the employer primary contribution rate was deducted monthly as a salary contribution. The deficit contribution rate was paid upfront by some employers, including Durham County Council. All employers had been issued with the expected contribution rates. Following a supplementary question from Councillor Carr, Members were informed that the FSS permitted employers to pay the deficit upfront but it was less likely that smaller employers would wish to do so. Academy deficits were expressed as a percentage because of the fluidity of membership.

Resolved:

That the information contained in the report be noted.