Chamber and committees

The Scottish Government provides, as part of the Local Government Settlement, revenue funding for local authority debt charges. This is based on a notional amount of capital expenditure each year, and supports local authority borrowing prior to 31 March 2011. From 2011-12, following agreement with COSLA, this type of support has been replaced with direct capital grant, which is beneficial to both central and local government as this form of support does not require local authorities to borrow and does not incur interest debt costs.

From 1 April 2004 a local authority has been under a statutory duty to determine the amount it can afford to allocate to capital expenditure. In making that determination an authority has a duty to observe the “Prudential Code for Capital Finance in Local Authorities”. The Code requires the capital investment plans of a local authority to be affordable, prudent and sustainable. Decisions on the capital investment, and the financial plans to ensure adequate budget provision is made to meet the costs of that investment, are therefore a matter for each local authority.

We have facilitated Community Planning Partnerships as key fora for public bodies to work together. We have also developed the hub programme, where Community Planning partners team up with a private sector development partner to form a joint venture delivery company the hubCo to deliver best value in procurement of community infrastructure.

I refer the member to the answer to question S4W-13794 on 3 April 2013. 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/parliamentarybusiness/28877.aspx.

I refer the member to the answer to question S4W-13796 on 3 April 2013. 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/parliamentarybusiness/28877.aspx.

I refer the member to the answer to question S4W-13796 on 3 April 2013. 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/parliamentarybusiness/28877.aspx. In addition the Scottish Government will encourage local authorities to follow the guidance available.

The Scottish Government welcomes this report by the Accounts Commission which sets out some valuable messages. It is, of course, up to councils to ensure they spend capital budgets effectively and in line with local needs.

A local authority has a statutory duty to observe the Chartered Institute of Public Finance and Accountancy (CIPFA), “Prudential Code for Capital Finance in Local Authorities”. The Prudential Code recognises that in making decisions the authority must have explicit regard to option appraisal, asset management planning, strategic planning for authority and achievability of the forward plan. All of these represent elements of good practice for which guidance has already been provided by CIPFA and other authoritative sources.

The Scottish Government will continue to work closely with local government to get maximum benefit to the economy from our combined investment. The Scottish Futures Trust has a particular role in supporting local authorities to deliver capital investment, such as schools and other community projects, efficiently and effectively.

Scottish Ministers welcome the findings in the report by Brodies LLP that challenges to planning decisions in Scotland are less likely to be successful than similar challenges in England and Wales. This demonstrates that decisions taken by local planning authorities and by the Scottish Government are soundly based and well-reasoned and play an important part in delivering sustainable economic development.

It is open to parties to seek review by the courts of planning decisions made by planning authorities or the Scottish Ministers.