Decision
Analysis
outcome: The Pension Assumptions for 2024/2025 were unanimously approved by the Committee.
summary: The decision at stake is the approval of Pension Assumptions for the 2024/2025 Statement of Accounts by the Governance & Standards Committee.
topline: The Governance & Standards Committee has decided to unanimously approve the Pension Assumptions for the 2024/2025 Statement of Accounts.
reason_contentious: This issue is not particularly contentious as it mainly involves financial reporting standards and accounting adjustments.
affected_stakeholders: ["Governance & Standards Committee", "Financial Services Manager", "Nottinghamshire County Council Pensions", "Actuaries", "Corporate Resources Director", "Corporate Assurance Manager", "Councillor Coxhead", "Councillor Denness"]
contentiousness_score: 2
political_party_relevance: There are no mentions or implications of political parties or political influence on the decision.
URL: https://mansfield.moderngov.co.uk/ieDecisionDetails.aspx?ID=1718
Decision Maker: Governance & Standards Committee
Outcome: Recommendations Approved
Is Key Decision?: No
Is Callable In?: No
Purpose: The attached Pension Assumptions are proposed to be adopted as part of the 2024/25 Statement of Accounts.
Content: The Financial Services Manager provided a summary of the Pension Assumptions report to the Committee. The Committee was informed that the Pension Assumptions attached to the report were proposed to be adopted as part of the 2024/2025 Statement of Accounts. The Committee was informed that the standard came from the IAS19 which was one of the financial reporting standards that the Council must comply with. The Members were informed that the pension assumption were calculated when they were committed to and not when they were paid out. The details supplied were completed by the actuaries on behalf of Nottinghamshire County Council Pensions. The best practice out of that report were used for the basis of this report so that the Committee have sight of the assumptions that they have used. Members were referred to 4.6 of the report that outlined the assumptions used and paragraph 4.9 that detailed the financial assumptions, the other assumptions used by the actuaries were set out at 4.13. members were informed that the, the key demographic used was the increase in mortality which impacted on the value of the assumptions and 4.14 shows the impact of any changes in the assumptions. Members were reminded that the details were just related to accounting adjustments and the figures within the report do not have an impact on the General Fund bottom line. Andrea Smith (Independent Member) had a query related to page 36 related to the risk assessment relative to the assumptions. The risk levels currently classed as medium asked if this was this the residual risk level or the risk level prior to the management strategies in place. The Independent Member queried if a medium risk was typically acceptable. The Director of Corporate Resources advised that this was a different type of risk. That this was different from the Strategic Risk Register and was specifically related to this report and this would be accepted if strategies were in place, as there was little that could be done now to change that risk level. However, this did not feature on the Corporate Risk Register. The Corporate Assurance Manager stated that he was not sure if the medium risk was the inherent risk or after it had been mitigated. The Director of Corporate Resources advised that it was difficult to change this risk as it was beyond the Council’s control. Andrea Smith clarified that the risk level although medium that it could not be mitigated above medium given the context and subject matter. The Director of Corporate Resources agreed with this summation. Councillor Coxhead recommended that the 2024/2025 pension assumptions be approved. The motion was seconded by Councillor Denness. On putting the motion to the vote, it was unanimously approved. Resolved: That the Pension Assumptions 2024/2025 be approved.
Date of Decision: July 9, 2025