Notes to the Consolidated Revenue Account

For details of this see the ‘Trading Revenue Account’.

Part IV of the Local Government and Housing Act 1989 requires authorities to set aside certain sums each year as a provision for redemption of outstanding debt.

In 2002/03 the sum required to be set aside for the repayment of outstanding debt is equal to 4% of the Authority’s credit ceiling. The extent to which this amount differs from depreciation charges to services is represented in the consolidated revenue account by an adjustment to the appropriation section of that account under the classification ‘Reconciliation of amount required for the repayment of external loans’

Section 5 of the Local Government Act 1986 requires the Authority to maintain a separate account of expenditure on a wide range of publicity activities.

This expenditure is included within service totals and is given below:

The County Council carries out certain functions as agent for government departments. The principal functions are as follows:

Agent to the various Primary Care Trusts in the County for the payment of the nursing care element of accommodation charges in care homes. Payments reimbursed total £2.3m.

Contract with the Learning & Skills Council (LSC) for Youth Training. Reimbursement is often linked to predetermined amounts per trainee. Expenditure incurred totalled approximately £697,000 (2001/2 £1,093,000).

The Council provides services to other local authorities and public bodies under the Local Authorities (Goods and Services) Act 1970. The organisations to whom these activities are provided, together with the income generated, are listed below:

Finance lease rentals paid to lessors in the year totalled £228,000 (2001/02 £164,000). Lease rentals paid to lessors during the year in respect of operating leases totalled £1,833,000 (2001/02 £1,314,000), whilst the estimated outstanding obligations under operating lease agreements amount to £4,581,000 (2001/02 £3,671,000).

The County Council participates in two different pension schemes for employees in particular services. All the schemes provide members with defined benefits related to pay and service. The schemes are as follows:

Note: In Leicestershire the Local Government Pension Scheme is administered by Leicestershire County Council. See the Pension Fund accounts.

The pension costs included in the accounts in respect of these schemes have been determined in accordance with relevant Government regulations. As a result, the County Council does not, in all cases, comply with the accounting requirements of SSAP 24, ‘Accounting for Pension Costs’, and the liabilities included in the balance sheet are understated in respect of pension costs.

In 2002/03 the County Council paid employer’s contributions of £11.793m (2001/02 £10.097m) into the Local Government Pension Fund, equivalent to 10.2% (9.6%) of pensionable pay. This sum was based upon the 2001 actuarial review.

In addition, the County Council is responsible for all pension payments relating to added years benefits it has awarded together with the related increases. In 2002/03 these amounted to £0.982m (2001/02 £0.912m), representing 0.85% (0.87%) of pensionable pay.

The 2001 actuarial review requires the County Council to phase in over three years an increase in the rate of Employers contributions from 160% of employees contributions to 190% in 2004/05, which would be equivalent to 11.4% of pensionable pay.

The capital cost of any discretionary increase in pensions payments under the Local Government Pension Scheme, e.g. discretionary added years agreed by the authority are disclosed below:

The number of employees whose remuneration, excluding pension contributions was £50,000 or more in bands of £10,000 is detailed below, together with last year’s comparative figures:

Amounts were paid to members of the County Council and Combined Fire Authority as follows:

Details of the total Government grants received are shown in the Cash Flow Statement, and levies paid to the Fire Authority are shown in the Consolidated Revenue Account. The employers contribution paid to the Pension Fund are shown in note 9. Other related businesses etc. are disclosed in note 10 to the balance sheet.

From the information currently available, no members of the council or senior officers have undertaken any material related party transactions requiring disclosure.

The County Council receives specific Government Grants for the provision of particular services. This income is included within the net cost of services.