The Brent Pension Fund experienced a valuation decrease in the first quarter of 2025-26, amidst market volatility and tariff announcements, according to a recent Pension Board meeting held on 22 July 2025. The fund's valuation fell from £1,335.8m at the end of Q4 2024 to £1,310.1m by the close of Q1 2025, as revealed in the Q1 2025-26 Investment Monitoring Report.
The decline was primarily attributed to negative returns from the fund's passive global equity mandates. The report also noted the impact of the US Administration's Liberation Day
tariff announcements on market conditions in April 2025.
Despite the quarterly dip, Saywin Shah, Head of Finance, indicated that the fund's overall position remains strong. The meeting also addressed the government's response to the LGPS 'Fit for the Future' consultation, with discussions focusing on asset pooling, local investment, and governance reforms. Shah clarified that while the government aims to boost local investment, the decision of strategic asset allocation will remain with the pension fund.
The Pension Board also discussed the 2025 Triennial Valuation and Actuarial Assumptions. A key point was the decision to increase the prudence level to 80% to reflect increased market volatility. Shah noted this could provide headroom to potentially reduce employer contribution rates in the long run.
David Hewitt, Independent Chair, thanked the board members and officers for their contributions.
The next meeting is scheduled for 6 November 2025.
