This bulletin provides practical guidance for applying indexation to non-investment asset values under the 2025/26 Code of Practice on Local Authority Accounting in the United Kingdom. It supports authorities transitioning to quinquennial revaluations with annual indexation in between, offering advice on selecting indices, accounting treatments, disclosures and audit expectations.
The guidance includes worked examples, outlines acceptable methods for depreciation and clarifies when full revaluations or desktop valuations are required. It is designed to help practitioners make informed, proportionate decisions to meet the Code’s requirements while ensuring audit readiness. It is not prescriptive but represents best practice endorsed by CIPFA and developed in collaboration with the Better Reporting Group (BRG).