News Roundup: Lancashire’s rating, refugee funding, planning in the High Court, pension boards
0Lancashire’s greater risk appetite identified
Ratings agency Moody’s has affirmed Lancashire County Council’s credit rating at Aa2. Moody’s said the council has been effective in delivering substantial savings in the face of significant central government cuts. It added that the council had a “greater risk appetite in managing its debt when compared to its rated peers” in investment assets and financing.
LGA calls for support on refugees
The government should reimburse in full councils dealing with increased numbers of asylum seekers arriving in Britain, according to the Local Government Association.
David Simmonds, deputy chairman of the LGA, said that with a third of migrants aged under 18, the strain on children’s services budgets was becoming unsustainable. “At the moment, these costs fall on the authorities covering the main entry points of the channel sea ports and the international airports, but the situation is becoming unsustainable as some have faced a doubling of the number of children in their care in a matter of weeks,” he said.
Councils benefit from planning ruling
Two councils – Reading and Berkshire – have won a High Court battle with the government that overturns a ministerial statement from last year which exempted small housing developments from affordable housing contribution requirements. Reading estimated the judgment would provide it with an extra £650,000 each year for community facilities and services, although the construction lobby says it could stymie development. The government is intending to appeal the ruling.
Derbyshire awards direct property contract
Derbyshire County Council Pension Fund has awarded a contract to manage its direct property holdings to Colliers Capital Holdings. The four-year mandate covers 12 commercial real estate properties worth nearly £104m. The fund also said it is proposing to add a significant cash sum to its direct property asset allocation
Pension boards ‘struggling’ with role
Local Pension Boards are still getting to grips with their role as the deadline for their first meetings passed, according to William Bourne, of advisers City Noble. Bourne said: “Most have spent their time trying to work out if they should focus on reviewing decisions and only being involved to raise concerns or if they should be consultative bodies, inputting into decisions before they are made by pension committees.”
