Treasury Management in the Public Services: Guidance Notes for Local Authorities incl Police and Fire Authorities (2018)

Treasury management in local government continues to be a highly important activity with English local authorities alone managing £73bn of borrowing and £29bn of investments at 31 March 2016, while for Scotland external debt at the same date stood at £15bn.

Local authority investments and borrowing remain in the spotlight. Recently there has been considerable interest in local authorities’ use of Lender Option Borrower Option instruments and increasing levels of commercial investment. The introduction of IFRS 9 Financial Instruments, increasing the range of investments and borrowing reported at fair value, will ensure that local authority treasury management remains in the spotlight for some time to come.

Treasury Management in the Public Services: Guidance Notes for Local Authorities including Police Authorities and Fire Authorities has been updated for the changes to the Treasury Management in the Public Services: Code of Practice issued in December 2017. Effective for financial years commencing on or after 1 April 2018 it should be read in conjunction with the Treasury Management in the Public Services: Code of Practice (2017) and the Prudential Code for Capital Finance in Local Authorities (2017). 

Reflecting the changing environment in which local authorities operate, this guidance contains a new section dealing with non-financial investments.

These sector-specific guidance notes draw attention to the requirements of statutes and regulations, and to common practices and current issues specific to local authority treasury management. They will be of use to all those concerned with treasury management, whether working as practitioners or managers in local fire and police authorities, or employed in the private sector and dealing with those organisations.

This title is available in hard copy and online.

The digital, online version is available as both searchable HTML and a bookmarked downloadable PDF of the publication that can be shared throughout your organisation. 

Details of licensing arrangements for other categories of purchaser, which includes those organisations operating shared service arrangements, are available from CIPFA’s Publications Department.