Salix Grants/Loan

Has anyone used Salix to fund capital schemes - if so how did you treat the funding? Grant or a loan? and did you charge internal interest?

Thanks in advance for any advice.
Parents
  • Hi Lisa. We use Salix loans to fund capital expenditure and treat the expenditure as being funded from borrowing. The receipt from Salix is treated as a loan liability in the Council's balance sheet. The half yearly repayments are taken to the balance sheet to reduce the loan liability. An amount equal to the annual repayment is charged as MRP in the Council's accounts with a credit to the CAA. No internal interest is charged.
Reply
  • Hi Lisa. We use Salix loans to fund capital expenditure and treat the expenditure as being funded from borrowing. The receipt from Salix is treated as a loan liability in the Council's balance sheet. The half yearly repayments are taken to the balance sheet to reduce the loan liability. An amount equal to the annual repayment is charged as MRP in the Council's accounts with a credit to the CAA. No internal interest is charged.
Children
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