07-08-2025
CIPFA has issued a consultation on the Prudential Code for Capital Finance in Local Authorities and Treasury Management in the Public Services: Code of Practice and Cross-Sectoral Guidance Notes.
CIPFA is reviewing both of the Codes to ensure that they remain fit for purpose and that changes introduced in 2021 have sufficiently reduced the risk arising from the growth in commercial activity. This consultation is an initial consultation to seek views on areas where the Codes can be strengthened or amended. More detail on proposed changes would follow in a subsequent consultation.
Issues considered in the consultation
The consultation seeks feedback on the following areas:
- Structure and coverage of the Codes and guidance
- Commercial and service investments and proportionality
- The liability benchmark
- The prudential indicators
- Further guidance
The consultation
The consultation contains a summary of the areas under consideration for review and the questions on which CIPFA is seeking feedback:
Download the Consultation on The Prudential Code for Capital Finance in Local Authorities and Treasury Management in the Public Services: Code of Practice and Cross-Sectoral Guidance Notes.
Interested parties are invited to provide responses to questions in the consultation via the consultation response form.
Where CIPFA is interested in specific issues, consultation questions have been included in the consultation. However, CIPFA welcomes comments on any aspect of the Prudential Code and Treasury Management Code. In order to assess comments properly, respondents are asked to support comments with clear reasons and, where applicable, preferred alternatives.
Responses are requested by 17 October 17:00.
If you have any issues with completing the consultation form, please email Policy.Technical@cipfa.org.