Decision details

The Cabinet had before it a *report from the Deputy Chief Executive (S151) reviewing the request for further borrowing to support the business case and to consider the implications of recent changes to Council borrowing arrangements.

The Cabinet Member for Housing and Property Services outlined the contents of the report explaining the change in Government guidance with regard to lending issues for projects outside of the district.

The Deputy Chief Executive (S151) outlined the impact on the Council’s borrowing ability (via the PWLB) if it were to lend monies to 3 Rivers Development Limited for projects outside of the district

Consideration was given to:

·         The impact of the Prudential Code on 3 Rivers Development Limited

·         Whether the pan Devon combined authority would change the impact of the borrowing issues

·         The need for an interim Business Plan to be considered

RESOLVED that:the Cabinet give its support to the business case, but does not offer to provide finance for this project, or any others outside of the District boundary, based on the recent changes to Government lending.

(Proposed by Cllr R B Evans and second by Cllr B A Moore)

Reason for the Decision – Investing in projects outside of Mid Devon would impact on the Capital Programme and the borrowing already planned

Note:  *Report previously circulated, copy attached to minutes.