Minutes:
The Chair asked Nicola Morton, Head of Local Government Finance, to introduce the update.
Nicola highlighted the following points from the update paper:
· The LGA response to the MHCLG technical consultation on the 2020-21 Local Government Finance Settlement had been submitted following consultation with Lead Members and approval by the Leadership Board and Executive. The key points of the response were laid out in paragraph 7 of the report.
· The LGA had urged the Government to publish the provisional settlement as soon as possible after 12 December and no later than Parliament rising for the Christmas recess.
· There were concerns about the increase in the Public Works Loans Board interest rates. Officers had been collating examples of capital schemes that were being reviewed by councils in the light of the increased cost of borrowing and this had been shared with MHCLG officials. Leadership Board had agreed to call for a discounted rate for councils to deliver schemes that were vital to the National Infrastructure Strategy which would otherwise have been under threat. Nicola took the opportunity to highlight the Municipal Bonds Agency’s offer to councils seeking to borrow money.
Decision:
· Resources Board members noted the update.