PLSA LA Conference: Almost a quarter of delegates believe LGPS is unsustainable

Nearly a quarter (23 per cent) of delegates at the PLSA Local Authority (LA) Conference believe that the Local Government Pension Scheme (LGPS) is unsustainable in its current form.

During a debate session at the conference, hosted by Debate Mate, the attendees were asked whether they supported the motion: This house believes that the LGPS is not sustainable.

The vast majority (77 per cent) of session attendees voted against the motion, while the remaining 23 per cent voted for it.

Earlier this week, Pensions Minister, Guy Opperman, told the Sunday Times that he believed public sector defined benefit (DB) schemes were not sustainable on a long-term basis and needed reform.

Following the initial vote, two teams of three debated the issue, with the team arguing ‘for the motion’ starting proceedings, describing the LGPS as “unaffordable” for both savers and pension funds, and inefficient.

The team ‘against’ the motion argued that many of the factors that were currently impacting the LGPS were relatively short term and rare, such as the cost-of-living crisis and potential upcoming recession.

The debate continued with the ‘for the motion’ side describing the scheme as complex and the regulatory framework not fit for purpose, while the ‘against’ side argued it was well-funded and cashflow positive.

Concluding the session, the audience were asked to voice their support for whichever viewpoint they sided with.

It appeared that the debate did not change many opinions, with the cheer for the ‘against’ side dwarfing the cheer for the ‘for’ side.

The opinions of the panellists arguing for or against the motion did not necessarily reflect their real views.

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