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CIPFA response to DCLG announcement

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Tuesday, 01, Apr 2008 12:00

CIPFA response to Department of Communities and Local Government on greater freedom for local authority financial management

Responding to the announcement by John Healey MP, Local Government Minister, that councils will be given greater freedoms to manage their finances with the removal of a complex regulatory burden on how they budget for capital projects, Alison Scott, Technical Manager, Chartered Institute of Public Finance and Accountancy (CIPFA) said:

“CIPFA welcomes this announcement as its significant move towards implementing depreciation accounting in local government. It brings a welcome degree of realism to local authority capital investment and use of assets.”

ENDS

Contact: Guy Roberts, Richard Taylor or Vicky Onslow, CIPFA Press Office, tel: 020 7543 5712/5687/5645

email: pressoffice@cipfa.org

Notes to Editors:

The Chartered Institute of Public Finance and Accountancy (CIPFA) is one of the leading professional accountancy bodies in the UK and the only one which specialises in the public services. It is responsible for the education and training of professional accountants and for their regulation through the setting and monitoring of professional standards. Uniquely among the professional accountancy bodies in the UK, CIPFA has responsibility for setting accounting standards for a significant part of the economy, namely local government. CIPFA’s members work (often at the most senior level) in the public service bodies, in the national audit agencies and major accountancy firms. They are respected throughout for their high technical and ethical standards and professional integrity. CIPFA also provides a range of high quality advisory, information and training and consultancy services to public service organisations. As such, CIPFA is the leading independent commentator on managing and accounting for public money.

The Guidance on Minimum Revenue Provision comes into operation when the existing regulations are revoked by the amendment regulations on 31 March 2008, and thus applies with effect from the 2008/09 financial year. The text and commentary are at: http://www.local.communities.gov.uk/finance/capital/statguidmrp.pdf

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