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You are underpaying. By the definitions of the accounting standard, the amount that we are paying over in cash for this year is less than the full accounting cost of the pension.
Questions and Answers
Date answered:
12 December 2013
The following table shows the amount of interest paid by councils in the five years to 2010-11, with the change in accounting being reflected from 2009-10.
We should consider the components that we have. There could be a skills account and differentiation of entitlement.Instead of having a single learner account as we do at the moment, we could have a skills account that put money into people's pockets.
We have put a lot of work into that with the contractor to get it down to the six that we are currently advertising, and we believe that it may still be possible to improve on that. We have had to take into account the effect of traffic management on the travelling public.
We published the discussion draft at the beginning of January, took account of representations that we received and adjusted the framework in the light of those.