Report of the Head of Finance, Governance and Assurance is attached.

Contact: James Walton       Tel: 01743 258915

It was proposed by Councillor D Minnery and seconded by the Leader, Councillor P Nuttingthat the report of the Head of Finance, Governance and Assurance on the Revised Minimum Revenue Provision Statement 2018/19, a copy of which is attached to the signed minutes and the recommendations contained therein, be received and agreed.

The Portfolio Holder for Finance, Councillor D Minnery explained that the Council was required by Statute to set aside a minimum revenue provision (MRP) for the repayment of external debt and it was at the Council’s discretion to decide on the accounting method used to achieve this.  Responding to concerns regarding the cost of borrowing the Portfolio Holder for Finance responded that various options had been considered, but difficult decisions had to be made about the best use of funds in the short term.

RESOLVED:

i)     That all the options modelled for the revision of the calculation of MRP charges in relation to supported borrowing be considered.

ii)    That the use of Option C3 (use a 45 year annuity method and apply Adjustment A from 2018/19) to calculate MRP charges in relation to supported borrowing be approved.

iii)   That the £2.217m saving generated in 2018/19 be ringfenced to fund the Digital Transformation Programme be approved.