Argyll & Bute TIF, Flood funding, TfL JV, Edinburgh asset sale, Care Bill deficit
0Scottish TIF schemes gets green light from ministers
The Scottish government has approved an £18.9 million tax incremental financing scheme proposed by Argyll and Bute Council. The council plans to spend the borrowing on an extension to Oban North Pier, upgrading road links to industrial sites, renewable energy projects and creating new business space at Oban airport. Under TIF, the money would be recouped by any rise in business rate income generated from the regeneration work. The Scottish government has already approved similar plans in Glasgow, Edinburgh, North Lanakshire and Falkirk.
Ministers pledge funding cash for councils
The government has pledged to reimburse local authorities for the full costs of their response to widespread flooding. Defence secretary Philip Hammond has said that the government will dip into HM Treasury reserves to cover the costs to councils responding to the deluge. A spokesman for the Local Government Association confirmed the announcement, but said that the government has given no indication on when any payments from central government would be made.
TfL sets up development joint venture
Transport for London has agreed to form a joint venture with developer Capco to redevelop the Earls Court exhibition centre in west London. The new vehicle will see both parties sharing the risk and reward on the development of the site, on which TfL owns the freehold. Capco will own 63 per cent of the new company with TfL owning the remaining 37 per cent share. TfL will invest an initial £18.5 million to set up the company, and says that it will reinvest any profits into London’s transport system.
Edinburgh fund to raise capital by asset sales
City of Edinburgh Council has voted to create a £7.5 million fund to unlock development projects, captitalised by the sale of unwanted council property. Officials say that the fund will provide loans to developers for infrastructure on schemes which have stalled due to the economic downturn. The money will be raised from the sale of surplus land, offices and other buildings, although the council has not revealed specific details of which assets will be involved.
Councils face Care Bill funding black hole
London boroughs face a £17 million shortfall in the amount needed to implement the Care Bill, according to London Councils, the body which represents councils in the capital. Councils will need £90 million to prepare for the new system, but are only likely to receive £72 million from central government, according to London Councils. It said this would leave each borough with a potential funding gap of £500,000.
