Councils borrowed £875m for housing projects in March from the Public Works Loan Board after the introduction of a special rate for housing revenue account projects in the Budget.
With significant and unexpected swings in cashflow, a reduction in loan margins would make all the difference for councils, argues local authority treasury adviser Arlingclose's strategic director...
A London council has raised £80m for its capital investment programme through a private placement, beating the Public Works Loan Board rate despite the turbulent market disrupted by the coronavirus.
Local authorities dived back into Public Works Loan Board borrowing this week after the interest rate on some loans dropped below 2% following the coronavirus outbreak.
The maiden bond launched by the UK Municipal Bonds Agency is the first step in a sector-wide shift away from the Public Works Loan Board, local government finance figures have said.
The Public Works Loan Board interest rate hike caused “dismay” among councils, according to Sarah Pickup deputy chief executive of the Local Government Association.
In the last financial year the value of loans made by the Public Works Loan Board increased by 42%. The LGiU’s Jennifer Glover explains looks at why that might be.
Local authority borrowing from the Public Works Loan Board has reached a seven-year high as cash-strapped councils increasingly invest in capital projects.
Local authorities are struggling to repay loans as a result of a “pernicious” rule change by the Public Works Loan Board, a financial risk analysis website has said.
The government has confirmed plans to abolish the 223-year-old Public Works Loan Board and transfer its functions for lending to local authorities to the Treasury.
