Labour Councillors at Barnet Council have called on Capita to improve the running of the council’s pension scheme.

As reported in the Hendon and Finchley, Barnet and Potters Bar, Edgeware and Mill Hill Times, at a meeting on Monday 29 July, Labour councillor for East Finchley Alison Moore called for a report to be drawn up setting out possible alternatives to the current Capita-run pension fund.

“We have had meeting after meeting, review after review over the last several years about challenges around data and pension fund administration issues. We are clearly seeing improvements now. But even if The Pensions Regulator’s deadlines are met, we would have to be quite clear that we want not only those to be met but ongoing, sustainable improvements and maintaining that in the future.

“There is little in the past four years that would give us that assurance.”

It follows the issuing of an improvement notice by the regulator in June to Barnet Council, as reported by the paper, however, as is the policy, TPR would not confirm as it does not make them public.

According to the paper, the Council was told to fix problems with its pension scheme by the end of August or face a fine of up to £50,000, as it was found to not be complying with pension legislation. The regulator has told the local authority to monitor contributions paid by employers on a monthly basis and show it had carried out checks on end of year certificates.

It must also demonstrate it has “taken all steps necessary to implement and operate adequate internal controls to provide accurate annual benefit statements for financial year 2018-19”.

Responding to the improvement notice, Council leader Dan Thomas told the paper: “We welcome this improvement notice and we’re happy to work with the provider to deliver the required improvements.

“At the same time, we’re leaving nothing to chance. That is why we are also putting in place contingency plans to plan to find an alternative pension fund provider, if these improvements are not made in the time required. We are determined to get things right.”

“Council officers will appoint an alternative provider, should the necessary improvements not be made in respect of the pensions fund.”

Back in 2017, TPR fined the fund £1,000 for failing to submit its 2016 scheme return. It was the first public service pension fund that the regulator issued a fine to, with the fine being issued against the scheme manager.

Scheme managers of public service schemes are expected to complete a scheme return which provides TPR with basic information about a scheme such as number of members and participating employers, contact details and information about its pensions board.

Capita has been contacted for comment but it is yet to respond.

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