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LGPS members underestimate obligations, PLSA warns
According to the Pensions and Lifetime Savings Association (PLSA), organisations which sign up to the Local Government Pension Scheme (LGPS) underestimate the extent of the obligations involved in becoming a member.
The Association has warned that many members such as universities, charities and housing associations are now questioning whether they can afford to remain in it. The PLSA maintained that while there has been a 14 per cent increase in the year 2013-14, the figure is set to increase further as more schools become academies.
The group is publishing a number of guides for employers in the local government scheme to provide information on what is expected once an organisation becomes a member of the LGPS.
Joanne Segars, PLSA chief executive, said: “The LGPS provides some fantastic benefits for its members. But for employers there are significant legal, financial and administrative obligations which can cause a real headache.”
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