Property Sales Boost Council Pension Fund (Islington Liberal Democrats)

Islington Liberal Democrats <Islington_ld@cix.co.uk>

Property Sales Boost Council Pension Fund

December 15, 2001 12:00 AM

Islingtonís Liberal Democrat Council is taking further action to tackle the appalling financial situation which it inherited from Labour At the Annual General Meeting of the Islington Council Pension Fund, which took place at the Union Chapel on November 15th, Cllr Richard Heseltine, announced further action to sort out the Councilís pension fund. Cllr Heseltine said ìThe Liberal Democrats support the Councilís pensioners. We are filling in the huge hole which Labour left in the Councilís pension fund. ìWhen we won control from Labour we inherited a £60 million deficit on the Councilís pension fund. This effectively meant that the Council was five years behind with its contributions. ìBut we also inherited a large portfolio of commercial properties which were often derelict and bringing in little income. A modern Council should not be in the business of being a commercial landlord. ìSo after winning Government consent we are now selling properties - such as the Guardian office block and numerous pubs. And we are using part of the proceeds to make good the shortfall in the pension fund. ìLast year we made a start and increased the Councilís contribution to the Pension Fund by over £6m, a 50% increase, including £4m from property sales. We are planning to eliminate the deficit over the next four years. &nbsp