Decision details

RESOLVED:

That the Cabinet recommend to Full Council that the Capital Strategy 2023/24 be approved, including the adoption of the following MRP statement:

“ For capital expenditure that has been incurred, and which has given rise to a CFR, the MRP policy for expenditure other than that incurred on investment property and dwellings, shall be to charge revenue an amount equal to the depreciation of any asset financed by loan. The MRP policy specific to investment properties and dwellings financed by loan, shall be to charge revenue an amount equivalent to the sum of borrowing utilised, over a repayment period of 50 years.”

REASONS FOR DECISION:

As set out in the report.

KEY DECISION:

Report to Cabinet and Full Council.

PORTFOLIO:

Finance, Investment and Corporate Services

ALTERNATIVE OPTIONS CONSIDERED/REJECTED:

As set out in the report.

DECLARATIONS OF INTEREST (S):

None.

DISCUSSION:

The Portfolio Holder reported that this was a high level document which outlined a total capital expenditure of £139 million.  The report included how expenditure it would be financed, using internal financing wherever possible but also consider the use of external financing.

The Section 151 officer confirmed that the report brings together the proposed capital expenditure for 2023/24.  A significant programme of expenditure had been proposed over the next 3 years.  The proposed funding was highlighted in the report, utilising internal funding as much as possible, and external resources, as required.

The report also included the Minimum Revenue Provision statement, which was consistent with the policy over the last few years.