Lothian Pension Fund – Scotland’s second largest LGPS fund – believes a full merger of all 11 funds would be the best way forward, according to a report on website IPE.com.
The fund has backed the option in its response to a consultation on the future shape of the scheme, launched by the Scottish LGPS Advisory Board in June.
According to IPE, Lothian’s pension committee chair Alasdair Rankin said: “We acknowledge that [a] merger is not a panacea and will involve significant change, particularly in relation to governance, which may not be palatable to some stakeholders and [a] merger to a single fund could be difficult.
“Therefore, [Lothian’s] preferred option would be to work with like-minded partners on a voluntary basis to develop a mutually beneficial merger solution.”
