With the Fit for the Future reforms entering into force, it is time for us to take the temperature of the industry on the impact of reforms and key investment challenges.
Now in its fourth year, Room151 and Schroders’ annual investment survey offers stakeholders the opportunity to provide their views on LGPS governance, investment trends and sector sentiment.
Click here to take part in the survey
This year’s survey coincides with the government’s Pensions Act becoming law and against the backdrop of consolidation within the now six LGPS pools. As usual, our survey will tackle:
- the future of the LGPS,
- trends within asset allocation and cashflow management,
- levelling up and local investment,
- private market strategies,
- how to tackle climate
Paul Myles, director of Private Assets and head of LGPS at Schroders, said: “In 2026, the LGPS is facing arguably the most significant period of change since pooling was introduced. Alongside pool consolidation and governance reform, funds and pools are being challenged to support UK growth and scale-up capital to stimulate local economic growth, while continuing to prioritise fiduciary duty and long-term returns for their members.”
Focus on implementation
The survey will provide a vital snapshot of current sentiment within the scheme. With the triennial valuation completed and theFit for the Future reforms having been but into action,, the focus is now shifting to implementation. How will this translate into investment decisions?
Consolidation has been a key theme for much of 2025 and 2026, as many funds have found themselves with new pooling partners and pools now tackling the onboarding of new assets. The first part of our survey will focus on the future of the LGPS. Is this the end of the road, or will we see the number of funds and pools shrink further? Moreover, will this trigger a move to manage more assets in-house, and where will external managers continue to play a role?
In previous surveys, funds have expressed continued interest in private markets. Meanwhile, the UK government has made it clear that it would like to see more institutional backing for scale-up capital. But with most funds now reporting positive funding levels and many being cashflow negative, do alternatives still hold their appeal?
With administering authorities now being tasked with setting their local investment targets, how will they approach place-based investment, and which asset classes will funds and pools consider to meet their ambitions? Finally, against the backdrop of landslide victories for Reform UK and gains for the Green Party during local elections, will we see a more polarised approach towards net zero?
A voice for the LGPS
Following a period of significant change, the LGPS is now firmly entering the implementation stage as funds and pools work collectively to bring assets under pool management and review key investment decisions.
Conducted anonymously, our survey offers a unique opportunity to share perspectives on the direction of the LGPS. We welcome responses from administering authority pension officers, pension directors, LGPS senior officers, S151 officers, independent investment advisers, chairs of LGPS investment committees and LGPS pool investment practitioners.
The survey is open for responses until 5 October, and the results will be covered on the Room151 site, as well as at Room151’s LGPS Investment Forum on 3 November 2026, where Paul Myles of Schroders will examine the findings and present a summarised report.
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Click here to take part in the survey
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