About us
Lothian Pension Fund is one of the largest in the UK, has over 100 associated employers and over 65,000 members.
The Fund
Lothian Pension Fund is one of the largest local government pension schemes in the UK. It has assets of £3.2bn, and over 65,000 members.
Along with main fund of Lothian Pension Fund, we administer two smaller funds Lothian Buses Pension Fund covering employees of Lothian Buses plc and Scottish Homes Pension Fund covering their ex-employees. The Fund also administers the Firefighters pension scheme on behalf of Lothian and Borders Fire and Rescue Service.
How the Fund works
The Fund is part of the Local Government Pension Scheme (LGPS). This is a national scheme which sets benefits and regulations for scheme members and employers within local government and its associated bodies. Unlike other public sector pension schemes, the LGPS is a funded scheme, with a fund built up from contributions made by employers, employees and investment returns.
This money is then invested to pay pension benefits as they become due. Currently Lothian Pension Fund is 85% funded. That is to say that there is 85% of all money needed to pay the future pensions of all our members.
An actuarial valuation is carried out every three years. This acts as a health check on the solvency of the Fund. The last valuation was carried out at 31 March 2008 and Lothian Pension Fund remained at 85% funded, Lothian Buses funding remained at 96% and Scottish Homes Pension Fund rose from 85% to 86%.
