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Local Government: Workplace Pensions

Asked by Sir James CleverlyConservativeMinistry of Housing, Communities and Local GovernmentTabled Answered 29 October 2025UIN 84638

The question

To ask the Secretary of State for Housing, Communities and Local Government, what the annual cost will be of the draft Local Government Pension Scheme (Fair Deal) Regulations 2026.

Answered by Alison McGovern

Some one-off costs to service providers and authorities are expected, relating to bringing a small number of workers providing local services under outsourced contracts into the Local Government Pension Scheme who are not currently members. These costs are expected to be offset over time by savings for service providers and authorities from improved risk-sharing arrangements, increased competition in the market, and simpler administration and actuarial funding arrangements.

We will consider information on costs provided in response to the consultation launched on 13 October 2025.

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