ICT projects to benefit from capital receipt freedoms

Written by Colin Marrs on 8 January 2016 in News

Councils will be able to raise money for ICT revenue projects by selling off capital assets from April, the government has confirmed.

George Osborne’s Autumn Statement last year committed the government to changing rules which currently prevent capital receipts being spent on services.

And now the Department for Communities and Local Government has released guidance which restricts the spending to a number of areas – including digital – related to efficiency.

A list of projects which could generate qualifying expenditure, the guidance included: “Driving a digital approach to the delivery of more efficient public services and how the public interacts with constituent authorities where possible.”

Related content

Property disposals set to fund council ICT projects
KPMG post Spending Review webinar

Other projects could include investment in service reform feasibility work, projects which involve service sharing, including procurement, and improving systems and process to tackle fraud and corruption.

Setting up commercial or alternative delivery models to deliver services more efficiently and generate revenue is also included in the list.

Councils will be required to draw up new efficiency strategies in order to make use of the new powers.

These should list every project which plans to make use of receipts generated from capital sales, along with a cost/benefit analysis.

From 2017-18, the strategies will be required to include an assessment of whether projects approved in previous years have delivered the predicted savings.

The new powers will come into force in April, and councils will be barred from using receipts from capital sales made before that date.

Share this page



Please login to post a comment or register for a free account.

Related Articles

Whitehall shared-services implementation requires funding and focus, MPs warn
9 May 2023

Public Accounts Committee warns that lack of support could imperil delivery

EXCL: Cabinet Office launches £12m project to move all data and users from Google to Microsoft
14 April 2023

Department to develop single internal infrastructure that will replace two incumbent platforms

Digital minister: ‘It’s important to the government that the British public has confidence in how we use their data’
23 May 2023

In a piece written for PublicTechnology, parliamentary secretary Alex Burghart discusses progress with One Login and the significance of legislative changes

Interview: CDDO chief Lee Devlin on the ‘move from being disruptive to collaborative’
23 May 2023

In the first of a series of exclusive interviews, the head of government’s ‘Digital HQ’ talks to PublicTechnology about the Central Digital and Data Office’s work to unlock £8bn...

Related Sponsored Articles

Proactive defence: A new take on cyber security
16 May 2023

The traditional reactive approach to cybersecurity, which involves responding to attacks after they have occurred, is no longer sufficient. Murielle Gonzalez reports on a webinar looking at...