To ask the Scottish Executive what the anticipated increase or decrease is in local authority debt over the next financial year, broken down by authority.
I refer the member to answer to questions S3W-5272 and S3W-5343 on 26 October 2007, the most meaningful information on local authority debt relates to the level of outstanding loans fund debt for each local authority as this debt must, in accordance with legislation, be charged to services over a number of years. All monies borrowed by the local authority are paid into the loans fund which then makes advances to service accounts to fund capital expenditure. The Scottish Government does not collect forecasts of this debt, only outturn information at the end of each financial year.
However, local authorities are also under a statutory duty to keep under review the maximum amount which they can afford to allocate to capital expenditure. In doing so, they must have regard to the CIPFA Prudential Code for Capital Finance in Local Authorities. Under this code, authorities must forecast their capital finance requirements and gross external borrowing over a three year rolling period and keep these within set operational and authorised limits. Therefore, for monitoring purposes, we do collect forecasts of gross external borrowing. External borrowing includes temporary short-term borrowing and any borrowing undertaken on behalf of other authorities such as police and fire boards. This is permitted by Schedule 3 of the Local Government (Scotland) Act 1975.
The table overleaf shows the levels of forecast gross outstanding external borrowing by local authorities as provided in their latest quarterly capital returns to the Scottish Government.
Gross External Borrowing by Local Authority (£000)
| Local Authority | Forecast Gross External Borrowing at 31 March 2007 | Forecast Change in External Borrowing in 2008‘09* | Forecast Gross External Borrowing at 31 March 2008 |
| Aberdeen City | 472,598 | 55,529 | 528,127 |
| Aberdeenshire | 397,952 | 2,099 | 400,051 |
| Angus | 155,369 | 0 | 155,369 |
| Argyll and Bute | 209,066 | -70 | 208,996 |
| Clackmannanshire | 104,204 | 10,000 | 114,204 |
| Dumfries and Galloway | 175,194 | 11,509 | 186,703 |
| Dundee City | 322,812 | 7,274 | 330,086 |
| East Ayrshire | 223,613 | 9,350 | 232,963 |
| East Dunbartonshire | 114,685 | -458 | 114,227 |
| East Lothian | 236,000 | 0 | 236,000 |
| East Renfrewshire | 90,604 | 2,819 | 93,423 |
| Edinburgh, City of | 943,698 | -38,803 | 904,895 |
| Eilean Siar | 157,129 | 887 | 158,016 |
| Falkirk | 220,515 | 4,969 | 225,484 |
| Fife | 590,088 | 9,294 | 599,382 |
| Glasgow City | 1,193,931 | 37,704 | 1,231,635 |
| Highland | 603,663 | 17,459 | 621,122 |
| Inverclyde | 182,369 | 9,929 | 192,298 |
| Midlothian | 125,683 | 50,648 | 176,331 |
| Moray | 155,414 | 34,705 | 190,119 |
| North Ayrshire | 225,652 | 0 | 225,652 |
| North Lanarkshire | 447,327 | 23,137 | 470,464 |
| Orkney Islands | 0 | 0 | 0 |
| Perth and Kinross | 177,433 | 24,499 | 201,932 |
| Renfrewshire | 302,560 | 0 | 302,560 |
| Scottish Borders | 184,664 | 9,362 | 194,026 |
| Shetland Islands | 0 | 0 | 0 |
| South Ayrshire | 190,907 | 8,650 | 199,557 |
| South Lanarkshire | 550,595 | 37,802 | 588,397 |
| Stirling | 146,496 | -275 | 146,221 |
| West Dunbartonshire | 209,879 | 2,291 | 212,170 |
| West Lothian | 298,733 | 13,425 | 312,158 |
| Total | 9,408,833 | 343,735 | 9,752,568 |
Note: *The change in borrowing incorporates new loans taken less any redemptions of debt.
All answers to written parliamentary questions are available on the Parliament''s website, the search facility for which can be found at http://www.scottish.parliament.uk/webapp/wa.search.