ACCOUNTING FOR SELF-FINANCING The purpose of this briefing paper is to examine some of the accounting issues that have arisen following the introduction of self-financing to housing revenue accounts in England. It includes sections on: Self-Financing and Treasury Management Depreciation and the Major Repairs Allowance Reform of Reporting Explaining Self-Financing to Tenants Self-Financing and Tenant Management Self-Financing and the Ring Fence
On management of debt the Government and Chartered Institute of Public Finance & Accountancy proposed that local authorities operate two loans pools – one for the General Fund and one for the Housing Revenue Account. They have outlined how opening debt should be divided between these two pools before self-financing was introduced. The treatment of depreciation is important as the major repairs allowance has been abolished with self-financing and the depreciation charge will become the sum that is transferred to the major repairs reserve to fund major repairs. Depreciation will therefore become a real cost in the housing revenue account. To download your free copy please click HERE | 
