Local Government Finances
359. The chart below shows annual rates charged by Local Government as a percentage of GDP. This compares with average core Crown tax revenue of around 30 per cent of GDP.[95]
- Annual Rates charged by Local Government as a percentage of GDP
- Source: Rates - various, GDP - Treasury
360. The cause of the increase is not immediately obvious. Further analysis is required to determine the extent to which this reflects assumed further cost inflation, and assumptions about future increases in the quality and quantity of services or compliance with standards, such as drinking water standards.
361. The following chart illustrates the amount of debt carried by local authorities:
- National Aggregate, Debt to Assets
- Source: Summary data collected from draft LTCCPs received from May 2009
362. The chart below indicates that councils, on average, are forecasting increased operating surpluses (excluding asset revaluations) over the same period.
- Forecast Operating Surplus
- Source: DIA. Draft summary of financial forecasts extracted from draft 2009 LTCCP's. Last updated: 6 May 2009
Notes
- [95]Source: The Treasury's Budget 2009 documentation.