LGPS regulation changes 2026: impact on Fund Employers

Following the Government's Access & Fairness Consultation in May 2025, the LGPS regulations have now been changed with effect from 1 April 2026. The consultation looked to address fairness and equalisation in the scheme across multiple areas – including a focus on the gender pensions gap.

The changes will impact both the pension fund and employing authorities. 

Gender pensions gap

The gender pensions gap is the difference in retirement income for men and women, from which LGPS analysis in 2023 exposed significant gaps within the scheme. The Government have now regulated changes that will allow members to continue to build-up pension during periods of authorised unpaid and child-related leave. 

Employers must make amendments to processes and systems, to ensure the correct pensionable pay is calculated.

We have created a detailed update, providing more information on the changes employers need to make to be compliant with the new regulations.   

LGPS Regulations 2026 - Impact on Fund Employers

Summary of the changes:

Authorised unpaid leave – under 15 days

Pension contributions are now compulsory in a period of authorised unpaid leave of less than 15 days. This applies to leave that starts on 1 April 2026 or later, and the 15 days are calendar days.

Authorised unpaid leave – over 14 days

A new type of arrangement to buy back pension ‘lost’ in a period of authorised unpaid leave has been introduced. These arrangements are known as qualifying additional pension arrangements (QAPAs). The cost of a QAPA and the pension purchased through a QAPA are different from those associated with existing Additional Pension Contribution contracts.

Change in the definition of child-related leave 

Child-related leave now includes unpaid shared parental leave, unpaid additional maternity leave and unpaid adoption leave. Assumed pensionable pay (APP) applies during a period of child-related leave, so APP will now also apply to the above, if the unpaid period starts on or after 1 April 2026.

Change in the definition of paternity leave

Paternity leave is included in the definition of child-related leave in Schedule 1 of the 2013 Regulations. Therefore, assumed pensionable pay (APP) applies during paternity leave, which is usually limited to two weeks. 

The right to take bereaved partner’s paternity leave of up to 52 weeks has been introduced from 6 April 2026.

Please use the above link for more detailed information on what employers need to do.

The Employer Relations team are providing training sessions on these changes and will be in touch with further details.