Devolved Funding: Borrowing Powers and Capital
Devolved Funding: Borrowing Powers and Capital
The Finance Committee
considered aspects of the financing and funding of devolution in Wales with a
view to informing the Part 1 report of the Silk Commission. In particular the Committee explored:
- the extent to which the Welsh Government could be granted borrowing
powers, looking at lessons learnt from the experience of local authorities
current borrowing powers; and
- consider innovative mechanisms which could be utilised by the Welsh
Government to lever capital funds for infrastructure projects, without
negatively impacting on the Welsh block, including the extent to which
current borrowing powers of local authorities and other organisations
could be utilised.
In the course of the inquiry the Committee considered:
- measures taken by local authorities to determine and keep under
review their prudential borrowing limits and how this is undertaken;
- differing levels of prudential borrowing used by local authorities
in Wales and any reasons for such differences;
- an overview of the nature of projects for which unsupported
borrowing has been used, and whether there are particular reasons for
such;
- lessons learned from local authorities on prudential borrowing
including the long term impact of repayments;
- how local authority borrowing could be used to boost the levels of
capital available for Welsh infrastructure;
- any alternative measures being considered by local authorities to
finance capital expenditure;
- alternative mechanisms of levering capital funding being considered
by the Welsh Government in the preparation of their Infrastructure Plan,
including the possibility of boosting borrowing by local authorities and
other organisations;
- exploring innovative capital models proposed elsewhere in the UK,
how these have been developed, utilised, and, where possible, how they
have performed.
Business type: Committee Inquiry
Status: Complete
First published: 12/02/2014
Documents
- Finance Committee Report - July 2012
- Welsh Government response - August 2012 PDF 267 KB View as HTML (2) 52 KB
- Consultation Letter PDF 167 KB View as HTML (3) 67 KB
- Consultation response: Pembrokeshire County Council PDF 98 KB View as HTML (4) 15 KB
- Consultation response: Bridgend County Borough Council PDF 237 KB View as HTML (5) 80 KB
- Consultation response: Chartered Institute of Housing Cymru PDF 423 KB View as HTML (6) 25 KB
- Consultation response: Cardiff Council PDF 2 MB View as HTML (7) 53 KB
- Consultation response: Community Housing Cymru PDF 546 KB
- Consultation response: Flintshire County Council PDF 1 MB
- Consultation response: Conwy Council PDF 145 KB View as HTML (10) 14 KB
- Consultation response: Carmarthenshire County Council PDF 3 MB
- Consultation response: WLGA PDF 281 KB View as HTML (12) 188 KB
- Consultation response: Scottish Local Government Directors of Finance PDF 519 KB
Consultations
- Devolved Funding: Borrowing Powers and Capital (completed)