Agenda item

The Chair invited Nicola Morton, Head of Local Government Finance to present the report which provides a summary of the work by the LGA on funding and finance issues since the last Board meeting on 28 February 2023 including the Chancellor’s Spring Budget, updates on business rates, council tax, local authority accounts and audit and capital and investments.

The Chair invited Jo Donnelly to give an update on pensions. HM Treasury had announced that the Superannuation Contributions Adjusted for Past Experience (SCAPE) discount rate had been reduced to CPI plus 1.7 per cent from 2.4 per cent. This would have an impact on the employer contribution rate in the unfunded public sector pension schemes, including the Teachers’ Pension Scheme. The impact was not yet known as the 2020 scheme valuation results are still not available, but the indication is that funding towards the increase for teachers employed in maintained schools will continue via the same arrangements set up in 2019 for the financial year 2024/25. Future years are for discussion at SR.

Members welcomed the push on the audit deadline as set out in the evidence given to the Public Accounts Committee.

The Chair reported that he gave evidence at the Work and Pensions Select Committee on the Household Support Fund in his capacity as Leader of Milton Keynes City Council.

Decision:

Members noted the report.