2 April 2004

1. I enclose regulations, amending the principal LGPS Regulations 1997, made under powers contained in section 7 and section 24 of the Superannuation Act 1972 and section 99 of the local Government Act 2000. The regulations come into force on 10 June 2004.

2. Section 7 of the Superannuation Act 1972 provides powers to make regulations in respect of pensions which may be paid to persons employed in local government. This power was not devolved to the National Assembly for Wales (NAW).

3. On 1 May 2003, we introduced amending regulations to give locally elected councillors in England access to the LGPS (The Local Government Pension Scheme and Discretionary Compensation (Local Authority Members in England) Regulations 2003 (S.I./ 1022), subject to the recommendation of the local Independent Remuneration Panel (IRP). Subsequently the NAW decided that Welsh councillors should also be given access to the LGPS and they have now made regulations to enable County Councils and County Borough Councils in Wales to determine which of their members are entitled to pensionable allowances, acting on recommendations by the all – Wales IRP. These regulations are the Local Authorities (Allowances for Members of County and County Borough Councils) (Pensions) (Wales) Regulations 2003 S.I.2003/2963. They cleared the way for the provision of pensions for councillors in Wales.

3. The enclosed regulations, the Local Government Pension Scheme and Discretionary Compensation (Members of County and County Borough Councils in Wales) Regulations 2004, now extend the English councillors’ provisions to eligible councillors in Wales. There is very little difference between the English and Welsh provisions except that in Wales where a council decides to give a councillor access to the LGPS, both the basic and special responsibility allowance must be eligible. In addition, there is a single all Wales Independent Remuneration Panel, which will make recommendations as to those councillors of a particular authority who are to be entitled to pensions provided by the Local Government Pensions Scheme.

4. Any comments or questions relating to the application of these changes should be addressed, in the first instance, to Roisin Macreadie, Local Government Pensions Division, ODPM, Zone 2/E8, Ashdown House, 123 Victoria Street, London, SW1E 6DE. Electronic enquiries can be sent to [email protected]

Keith Bloomfield

LIST OF ADDRESSEES

THE CHIEF EXECUTIVE OF:

County and Borough Councils in Wales

County and District Councils in England

London Borough Councils

South Yorkshire Pensions Authority

Tameside Metropolitan Borough Council

Wirral Metropolitan Borough Council

Bradford City Council

South Tyneside Metropolitan Borough Council

Wolverhampton Metropolitan Borough Council

London Pensions Fund Authority

Environment Agency

The Town Clerk, City of London

Clerk, South Yorkshire PTA

Clerk, West Midlands PTA

The Commissioners of Police Authorities in England and Wales

The Chief Fire Officers of Fire Authorities in England and Wales

The Secretaries of:

Welsh Local Government Association

North Wales Association of Town Councils

Local Government Association

LGPC

New Towns Pension Fund

Commission for New Towns

Association of Council Secretaries and Solicitors

SOCPO

SOLACE

ALACE

Convention of Scottish Local Authorities (COSLA)

National Assembly for Wales (NAW)

The Wales Office

Trades Union Congress

UNISON

TGWU

GMB

UCATT

NAEIAC

AEEU

Audit commission

Government Actuary’s Department

ACA

AOC

UCEA

SPPA

NI DOE