Public Pension Pioneer Retires

One of the leading voices in UK public pension hands over the baton.

(August 19, 2103) — Mike Taylor, CEO of the London Pension Funds Authority (LPFA) has announced he is to retire.

Taylor, one of aiCIO’s Power 100, has led the £4.6 billion LPFA since 2006, and been one of the clearest voices in the call for the 34 London borough pension funds to merge to help improve efficiency and economies of scale.

The LPFA manages assets and carries out administrative duties for several of the 34 borough pensions.

 “In five years’ time, hopefully the LPFA won’t exist,” he told aiCIO a year ago. “We should have succeeded in creating a pan-London pension fund.”

In November a meeting of the Leaders’ Committee, the main decision-making body in London, and representatives from the Society of London Treasurers was held to receive an assessment of the proposal by consultants at PriceWaterhouseCoopers.

The move, which was proposed in March 2012, could see the 34 London Boroughs pool their assets, liabilities, and administrative functions to take advantage of economies of scale and improved investment opportunities. Some of the boroughs’ pension funds have less than £500 million.

At the time, Taylor said: “I am very pleased. The most senior politicians in London have agreed to explore the proposals and will take them forward. It will take some time, but if we are successful, I think we are looking at 2016 for the merger to begin.”

Earlier this year, the LPFA said private equity and insurance supremo Edi Truell had taken the chairmanship of the fund, and a number of high-profile board members were announced.

Truell backed Taylor’s call for a pooled system in London, and potentially further afield.

It is understood than an interim CEO will be appointed until a replacement is found.

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