In a statement issued on 18 March, the Deputy Prime Minister announced that he was establishing a tripartite committee with key stakeholders, to discuss the future of the local government pension scheme. The first meeting of the tripartite committee, chaired by the Deputy Prime Minister, subsequently met on 24 May and was attended by representatives of the local authority employers and the trade unions.

The Committee will focus on the development and modernisation of the scheme and will consider the measures which need to be put in place to ensure the scheme's affordability and sustainability.

The Government believe that local authority employees should have a stable, strong pension scheme in which they can have confidence. It is important, however, that the balance is right between, on one hand, the cost of the scheme to the taxpayer, and, on the other hand, the value of the benefits which the scheme offers to current and future pensioners.

Further meetings of the Committee are now being arranged to ensure the implementation of essential decisions about the scheme's long-term future.