NALC to lobby the government on thresholds
The National Association of Local Councils (NALC) agreed at the Policy Committee meeting on 28 March 2023 to lobby the government on thresholds for local (parish and town) councils.
Leicestershire and Rutland Association of Local Councils (LRALC) submitted a motion to NALC to lobby for an increase in the maximum threshold of the definition of “small local authorities” from 500,000 euros to trigger protections for local councils under the Financial Service Compensation Scheme. The Policy Committee supported this motion.
The committee also supported LRALC's second motion to lobby the government to increase the £25,000 audit threshold. Along with the threshold increase, LRALC asked to introduce a transparency code for local councils with annual turnover between £25,000 and £200,000 and for the sector to promote good practice in internal audit and compliance.
Local councils’ investments and deposits have been under the Financial Service Compensation Scheme since 2015.