NEWS

The Prudential Code for Capital Finance in Local Authorities was updated in 2011.  As part of this update the prudential indicator which compared net borrowing to the capital financing requirement was changed to compare net debt.  CIPFA is now seeking views on a further change from net debt to gross debt.

Please send your responses to the consultation questions to mandy.bretherton@cipfa.org.uk by Wednesday 29 February 2012.

Self-financing: update concerning PWLB Arrangement fees for new loans

CIPFA now has an update to our earlier guidance on treasury management issues around the arrangement of new loans for those authorities intending to borrow through the PWLB in readiness for the implementation of Self-Financing.

For those of you who have purchased the CIPFA Guide to Housing Self-Financing, the amendment now needed to paragraph 40 on Page 9 is as follows:

The government has agreed to pay costs relating to the arrangement of new loans through the Public Works Loan Board (PWLB) or redemption fees.

So paragraph 40 should now read:

Debt and the Rate of Interest

Treasury Management Code Essentials
The key things that those responsible for treasury management should know.

Treasury Management is a complex and technical area. This short summary aims to provide those senior officers and those charged with governance, such as local authority councillors responsible for treasury management with some of the essentials.

TMP Bulletin - March 2010
The Treasury Management Panel has published its latest Bulletin on Treasury Management Advisors (TMA's). The Bulletin covers the regulation of and typical services provided by TMA's and what it means for local authorities.

TISonline seeking new members
TISonline - CIPFA’s online resource - is seeking new members, who are willing to share their expertise and help update guidance. With the significant changes in the financial sector during the past year, the Investments editorial board is looking to update Investments to take account of the credit crunch and its implications for local authority treasury management. 

The editorial board meets two or three times a year in London to discuss drafts and updating requirements, with board members taking responsibility for drafting or updating a section that suits their skills and experience. For further information and to discuss what is involved, please contact Maria Menezes on maria.menezes@cipfa.org.uk or 020 8667 8153.

TMP Bulletin
With the spotlight not yet moving from Local Authority treasury management this Treasury Management Bulletin provides the latest update. It includes key skills for members and officers, details of current consultations and potential sources of information to help assess the credit worthiness of counterparties.

Volunteer Feedback Survey
We are always eager to hear existing (and potential) panel members' views on how we can help support you better. The Volunteer Survey offers a formal mechanism for you to feed back your views to CIPFA.

Discussion Paper on Risk Management
This discussion document is aimed, firstly, at strengthening awareness of the issues involved, and, secondly, at providing an outline of the type of developments which the Treasury Management Panel would wish to encourage in the risk management area. Click here to read the discussion paper and learn how to contribute your views.

Background Paper on Councils Use of Interest Rate Swaps in the Mid 1990s
At its last meeting the Panel discussed the use of derivatives by local authorities. A number of Panel members expressed a desire to better understand the legal issues arising from interest rate swaps in the early nineties, especially the Hammersmith and Fulham Case. This paper provides the Panel with background information on those cases. Download: Word | PDF

   EVENTS

Details of upcoming events from CIPFA’s Treasury Management Network are available here