They are calling for the Norfolk Pension Fund, which has more than 100,000 members, to dispose of the £500,000 Israeli government bonds they say the fund has invested in.
They also want the fund, which is run by Norfolk County Council, to divest from other companies they say are profiting from the conflict in Gaza, such as arms manufacturers.
Norfolk Divest, a partnership between Norfolk Palestine Solidarity Campaign and Norfolk UNISON, have written to the county council and the fund urging them to take the money out.
It comes after a United Nations commission concluded Israel is committing genocide in Gaza.
Israel, founded in the aftermath of the Holocaust, has adamantly rejected genocide allegations against it as an antisemitic “blood libel” and said the UN report was “distorted and false”.
The pensions challenge – which has been made to other local government pension fund schemes (LGPS) as well – was discussed at a meeting of Norfolk’s pension committee on Tuesday.
Glenn Cossey, director of the Norfolk Pension Fund, told councillors the advisory board had written to the Ministry of Housing and Local Government and the local government minister to request a statement to help show the way forwards.
He said there were “complex issues” – particularly those around “the application of international law”.
He added: “The scheme advisory board is looking as to whether legal advice is required.”
Mr Cossey said the fund had also received 96 letters of correspondence from the Action Network Stop Arming Israel campaign, including 55 from members of the pension fund.
The fund’s members include people who work or worked for Norfolk County Council, and other organisations such as local schools, plus town and parish councils.
READ MORE: Tempers flare at Norwich City Council in Gaza debate
Mr Cossey said the government’s response to the board’s request for a statement would be “very, very interesting”.
He said: “The secretary of state does have powers in Pension Services Act 2013 to instruct and direct LGPS funds accordingly.
“I think a situation such as this, particularly those questions around really complex international law and how they apply to UK law and the LGPS can only come from government, with appropriate legal advice and legal opinion.”
READ MORE: Norfolk Pension Fund to be swelled after Apple legal fight
About 1,200 people were killed by Hamas militants in the 2023 attack on Israel in October 2023, which sparked the war, while another 251 were abducted.
Israel’s retaliatory military offensive has killed more than 65,000 Palestinians, according to Gaza’s health ministry, which is run by Hamas.
There are thought to be 48 remaining hostages still held by Hamas, of whom 20 are believed to be alive.