Local Government Pension Scheme (LGPS) employers are benefiting from an easing in their contribution rates, with fresh analysis showing costs falling sharply between 2022 and 2025.
Across 87 LGPS funds in England and Wales, Pensions UK found the average employer contribution rate was down from 21.3% to 16.6% while average funding rose from 105% in 2022 to 122% in 2025. Just eight funds were below 100% funding by 2025.
