Treasury Solutions HERTFORDSHIRE COUNTY COUNCIL LAMS

HERTFORDSHIRE COUNTY COUNCIL LAMS REVIEW DECEMBER 2013 / JANUARY 2014 FINAL REPORT

Introduction 1. Hertfordshire County Council, and a number of district / borough councils in Hertfordshire, launched the Local Authority Mortgage Scheme (LAMS) in November / December 2012 although progress to date is slower than would have been expected based on performance of similar schemes. 2. A full review has been undertaken and this report summarises the findings and includes a series of suggested actions. 3. It is essential that the information and recommendations contained in this report are read in conjunction with local data and knowledge as the LA’s knowledge of the local property market will be important in determining the most appropriate actions.

Overview 4. 60 local authorities have now launched a scheme and 87 schemes are in place as many authorities have launched more than one scheme with the same lender, or more than one scheme with different lenders. The Scheme has supported almost 3000 mortgages and over £329m in mortgage lending. 5. The average utilization rate for £1m is 8 months. The quickest is 40 days and one scheme is still live two years after launching although the maximum loan size is low. 6. The average maximum loan size set by a local authority is £170,000 (£153k if the top value schemes of £350k are excluded). 7. The repossession rate is nil and there is presently only one mortgage in 3 months+ arrears, although the lender is working with the mortgage holder to agree a repayment plan.

Background – Hertfordshire Schemes 8. The following Schemes have been launched in Hertfordshire: a. Hertfordshire County Council / Lloyds Bank – launched 23.11.12 i. Total Indemnity £2m ii. Maximum loan size£190k iii. Postcodes All cross boundary postcodes and non-live DC areas b. Hertfordshire County Council / Leeds Building Society – launched 23.11.12 i. Total Indemnity £1m ii. Maximum loan size£190k iii. Postcodes All cross boundary postcodes and non-live DC areas c. Broxbourne Borough Council / Lloyds Bank – launched 6.12.12 i. Total Indemnity £1m ii. Maximum loan size£190k iii. Postcodes All d. Dacorum Borough Council / Lloyds Bank – launched 27.11.12 (Closed 11.12.13) i. Total Indemnity £1m ii. Maximum loan size£190k iii. Postcodes All e. Dacorum Borough Council / Leeds Building Society – launched 23.11.12 i. Total Indemnity £1m ii. Maximum loan size£190k iii. Postcodes All

Activity – Hertfordshire Schemes 10. All activity as at 31 December 2013 is shown at Appendix A 11. Speed of utilization per £1m for closed schemes is as follows: a. Dacorum Borough Council / Lloyds Bank – 1 year b. Stevenage Borough Council / Lloyds Bank – 7 months c. All other schemes have now been live for over 12 months and East Hertfordshire for 1 year, 8 months. 12. Average property value and average mortgage value per scheme a. Hertfordshire County Council / Lloyds Bank – Property value: £175k. Mortgage value: £163K. b. Hertfordshire County Council / Leeds Building Society – Property value: £170k. Mortgage value: £161k. c. Broxbourne Borough Council / Lloyds Bank – Property value: £171k. Mortgage value: £161k. d. Dacorum Borough Council / Lloyds Bank – Property value: £173k. Mortgage value: £163k. e. Dacorum Borough Council / Leeds Building Society – Property value: £185k. Mortgage value: £175k.

13. Analysis of Hertfordshire CC Scheme – There are 24 mortgages against the Lloyds and Leeds Schemes for Hertfordshire CC. An analysis of the postcodes is as follows: a. Welwyn Hatfield 16 (67%) b. St Albans 7 (29%) c. Hertsmere 1 (4%)

14. Qualitative Data at 31 December 2013 a. Average LTV % i. Hertfordshire County Council / Lloyds Bank – 92.95% ii. Broxbourne Borough Council / Lloyds Bank – 94.23% iii. Dacorum Borough Council / Lloyds Bank – 94.47% iv. East Hertfordshire District Council / Lloyds Bank – 94.77% v. Hertsmere Borough Council / Lloyds Bank – 94.43% vi. North Hertfordshire District Council / Lloyds Bank – 94.11% vii. Stevenage Borough Council / Lloyds Bank – 93.63% b. Average age i. Hertfordshire County Council / Lloyds Bank – 30 ii. Broxbourne Borough Council / Lloyds Bank – 30 iii. Dacorum Borough Council / Lloyds Bank – 31 iv. East Hertfordshire District Council / Lloyds Bank – 30 v. Hertsmere Borough Council / Lloyds Bank – 36 vi. North Hertfordshire District Council / Lloyds Bank – 30 vii. Stevenage Borough Council / Lloyds Bank – 31

15. Repossessions and Arrears – The national repossession rate is nil and there is presently only one mortgage in 3 months+ arrears, although the lender is working with the mortgage holder to agree a repayment plan. There are no arrears on any of the Hertfordshire Schemes with either lender.

Lloyds Bank 16. All contacts to Lloyds are either through visiting a branch or via a phone call to the MaPA at Lloyds. There is one contact number for East Hertfordshire (Contact number 07841 490 966 – Stephen Bailey) and one contact number for all other authorities (Contact number 07515 096 203 – Malcolm Rose). Checked both numbers and both are correct.

Leeds Building Society 24. All contacts to Leeds BS are either through visiting a branch or via a phone call to the main helpline number. There is one contact number all authorities (Contact number 08451 968 326). Checked number and it is correct. 25. Contacted two local branches (Watford and Stevenage) – Excellent response. Knew about the Scheme instantly and able to explain it. 26. Level of Interest: FTB’s just want a high LTV mortgage and don’t always know about the different types or what they mean. Very few enquiries from people who already know about LAMS, more enquiries from FTB’s. 27. View of Scheme: Excellent scheme, very easy to operate and very attractive to customers. 28. Maximum Loan Size: Definitely too low. Property is much cheaper in some areas (Stevenage) but there have been a number of applicants who have tried to find the additional deposit to meet the cost of a higher value property and have not been able to do so and have not been able to find a cheaper property. Suggested a revised maximum loan size of at least £250k for all Schemes. 29. The view from the corporate team at Leeds BS is that the maximum loan size is set too low, especially for Three Rivers and Watford. The table below indicates the average loan size for a LAMS mortgage and the average loan size for a non LAMS mortgage. The Leeds team have stressed that these are averages only, and as such, many of the mortgages granted are for higher amounts. The data concurs with other findings contained in this report, ie that Three Rivers should consider a maximum loan size somewhere between £250k and £350k. Watford and Hertfordshire should raise the maximum loan size to £250k and Dacorum and North Herts should consider raising to £250k.

LA Max Loan Max Property Value Av LAMS Loan Size Av Non-LAMS Loan Size Dacorum £190,000 £200,000 £175,433 £136,764 Hertfordshire £190,000 £200,000 £161,250 £168,669 North Hertfordshire £190,000 £200,000 £128,706 £152,350 Three Rivers £190,000 £200,000 - £209,427 Watford £190,000 £200,000 £186,200 £175,304

Property Review – Source: Zoopla 33. Average asking price a. Hertfordshire County Council £603k b. Broxbourne Borough Council £648k c. Dacorum Borough Council No data for Council (Kings Langley £514k; Hemel Hempstead £374k; Tring £422k) d. East Hertfordshire District Council No data for Council (Bishop’s Stortford £495k; Hertford £584k; Buntingford £544k) e. Hertsmere Borough Council No data for Council (Elstree over £1m; Borehamwood £788k; Aldenham £857k) f. North Hertfordshire District Council No data for Council (Baldock £429k; Letchworth £300K; Royston £392k) g. Stevenage Borough Council £317k h. Three Rivers No data for Council (Abbots Langley £410K; Chorleywood and Rickmansworth over £1m) i. Watford Council £433k 34. Asking price for av 2 bed house a. Hertfordshire County Council £297k [circa 100 properties are for sale under £190k but they all have only 1 bedroom. There are a number of 2 bedroomed properties for sale for under £190k but quite a few are in the Stevenage area; ‘chalet’ / temporary type homes; or homes within larger establishments (essentially flats and maisonettes). The majority of properties for sale are above the max loan size of £190k] b. Broxbourne Borough Council £172k [there are fewer properties actually on the market in this area when compared to similar areas (?rural area) and only a very low number below £190k and of those even fewer that provide a house with 2 bedrooms. The average figure of £172k is very deceiving as the majority of properties for sale are at very high values] c. Dacorum Borough Council No data for Council [Kings Langley £291k; Hemel Hempstead £267k; Tring £230k) - Although the majority of properties are in excess of the max loan size, quite a good number of 2 bedroomed properties under the max loan size can be found for sale when compared to other parts of the County] d. East Hertfordshire District Council No data for Council (Bishop’s Stortford £218k; Hertford £330k; Buntingford £260k) – Similar to Dacorum above e. Hertsmere Borough Council No data for Council [Elstree £250k; Borehamwood £256k; Aldenham £575k – these figures are high but are also very deceiving as so few properties fall into these categories – the majority are over £800k] f. North Hertfordshire District Council No data for Council [Baldock £242k; Letchworth £251k; Royston 235k – There are a higher number of properties for sale in this area and within the max loan size when compared to other areas in the County.] g. Stevenage Borough Council £173k [A relatively high number of lower value, 2 bedroomed properties for sale]

Council Publicity and Awareness 35. Posters and fact sheets have been produced and distributed to all areas with the exception of North Hertfordshire and Watford – neither LA requested posters. 36. A well publicised and formal launch took place attended by the Housing Minister. 37. Excellent press coverage – probably the best in the UK. 38. Calls were made to the Council’s main switchboard using a ‘mystery shopper’ approach. On each occasion I asked to speak to somebody ‘about applying for a mortgage using the scheme which is being supported by the Council’. If this was not sufficient, I provided more information and went on to say that it is for first time buyers and it is where the council provides help with a deposit. I purposefully did not mention the name of the Scheme as from my experience when members of the public call me, they do not know what it is called, they have just heard about it, or read about it. Results: a. Hertfordshire County Council – Phone operator fully aware of the Scheme and advised me to contact Lloyds or Leeds. b. Broxbourne Borough Council – Phone operator not aware of the scheme but redirected my call. Redirected to housing needs but they were not aware of the scheme either. c. Dacorum Borough Council – Phone operator stated that it is not something the Council provides and I should call the County Council, the number was provided. d. East Hertfordshire District Council – Phone operator instantly directed the call to Housing Options. Housing options confirmed that they do not provide any assistance with mortgages or deposits but then advised regarding the Government’s Help to Buy Scheme! e. Hertsmere Borough Council – Phone operator confirmed that there is no such scheme in place and that the Council does not help with anything to do with private mortgages. I asked to be transferred to housing options or similar but the operator said no as they only help with social housing issues. f. North Hertfordshire District Council – Phone operator redirected the call and the next person was fully aware of the scheme and advised me to call Lloyds or Leeds. g. Stevenage Borough Council – Phone operator redirected the call to Housing. Housing tried to be very helpful asking for lots of information and checking the computer and speaking to colleagues although the final outcome was that the Council does not provide anything to do with mortgages anymore. I was informed that they used to but not anymore. h. Three Rivers – Phone operator’s initial response ‘we don’t provide mortgages’. Put on hold to check with manager and a following a short wait I was informed correctly about the Scheme and advised to phone Leeds Building Society. i. Watford Council – Phone operator stated that it is not something the Council provides and I should call the County Council, the number was provided. 39. A search on the County and District websites (using a general housing search; mortgage search; and LAMS search) revealed that with the exception of Watford all authorities have clear information regarding the Scheme. Neither St Albans nor Welwyn Hatfield contain any information linked to the County Scheme and Three Rivers only references the Leeds Scheme. In summary, coverage is quite strong. Results: a. Hertfordshire County Council – Excellent coverage and easy to locate b. Broxbourne Borough Council – Excellent coverage and easy to locate c. Dacorum Borough Council – Good coverage and easy to locate, but some general searches did not locate the information Treasury solutions 40 Dukes Place, London, EC3A 7NH Tel 0871 664 6800 Fax 0871 664 6830 www.capitaassetservices.com Capita Asset Services is a trading name of Sector Treasury Services Limited which is authorized and regulated by the Financial Conduct Authority only for conducting advisory and arranging activities in the UK as part of its Treasury Management Service. Registered office: 71 Victoria Street, Westminster, London, SW1H 0XA. Registered in England No. 2652033 d. East Hertfordshire District Council – Excellent coverage and easy to locate e. Hertsmere Borough Council – Excellent coverage and easy to locate f. North Hertfordshire District Council – Excellent coverage and easy to locate g. Stevenage Borough Council – Excellent coverage and easy to locate h. Three Rivers – Excellent coverage and easy to locate i. Watford Council – Could not locate any information j. Welwyn Hatfield and St Albans – No information although they do not have a Council level scheme in place. It would be helpful to have a link to the County Council Scheme as the CC Scheme is clearly supporting people in those areas.

Conclusion 40. The Local Authority Mortgage Scheme (LAMS) was launched at County level and by all District / Borough Councils (with the exception of Welwyn Hatfield and St Albans) in November and December 2012. East Herts launched in April 2012. Some LA’s launched with both Lloyds and Leeds and others launched with one or the other. 41. East Herts initially launched with a maximum loan value of £160k but increased the limit to £190k. Stevenage has a maximum loan value of £180,500 and all others have £190k. 42. With the exception of the Stevenage (£1m utilised in 7 months) and Dacorum Scheme (£1m utilised in 1 year) with Lloyds Bank, the schemes in place in Hertfordshire are progressing more slowly than would have been anticipated. 43. The Hertfordshire County Council / Lloyds Scheme is being accessed by applicants in Welwyn Hatfield (67%) and St Albans (29%). 44. The national repossession rate is nil and there is presently only one mortgage in 3 months+ arrears, although the lender is working with the mortgage holder to agree a repayment plan. There are no arrears on any of the Hertfordshire Schemes with either lender. Based on this information, there is no evidence that increasing the maximum loan size increases the LA’s risk. 45. Property values in Hertfordshire are high although they do vary considerably across the County. 46. Availability of property, and certainly property under the current maximum loan value of £190k, also varies quite considerably across the County. In some areas there is only a small number properties that are of interest to first time buyers (as 96%+ of first time buyers are seeking 2 bedroomed houses) and within the maximum loan value. 47. Statistics indicate that first time buyers are seeking 2 bedroomed houses and the only area where the average price for a 2 bedroomed house is below £190k is Stevenage. This would explain the success of the Stevenage Scheme when compared to other areas. Other areas where there are a higher number of properties available under the maximum loan size are Dacorum, East Herts and North Herts. Prices for these areas are higher than Stevenage as an average, but there are still a higher number of properties for sale and within the maximum loan size. Watford has a high number of properties for sale, but few are below the maximum loan size. Concern is expressed regarding the availability of property and the high value of properties in Broxbourne, Hertsmere and Three Rivers as whilst an increase in the maximum loan size would clearly help, a limit of £250k may still result in quite a slow uptake in these areas. 48. The loan to value ratios indicate that most applicants have not been able to find more than a 5% deposit and this concurs with the information provided by the lenders. This again means that setting the maximum loan size at the correct level is important. 49. The average age of a FTB in Hertfordshire (ie 30) is higher than national averages under this Scheme (ie 27). The average age of a FTB in Hertsmere is 36 which is probably linked to property values in the area. It is more likely that FTB’s are families with children and as such buyers may be looking for more than 2 bedrooms. This data also provides an indication of how the speed of utilization will be limited by the maximum loan size set.

Treasury solutions 40 Dukes Place, London, EC3A 7NH Tel 0871 664 6800 Fax 0871 664 6830 www.capitaassetservices.com Capita Asset Services is a trading name of Sector Treasury Services Limited which is authorized and regulated by the Financial Conduct Authority only for conducting advisory and arranging activities in the UK as part of its Treasury Management Service. Registered office: 71 Victoria Street, Westminster, London, SW1H 0XA. Registered in England No. 2652033 50. Discussions with both lenders and a review of the statistics and availability of properties for sale indicates that the maximum loan size is set too low. A figure in the region of £250k is suggested by the lenders and it is felt that this will make a difference in most areas although it is likely that such an increase may have only limited impact on the success of the Scheme in areas such as Hertsmere, Broxbourne and Three Rivers where a higher limit could be considered. The maximum limit on the Scheme with Leeds and Lloyds is £350k. 51. If speed of utilization is a key factor for the County Council, action could be taken to add the postcodes of completed district level schemes to the County Council postcode schedule. Ie the Herts CC / Lloyds scheme postcode schedule does not include postcodes for Stevenage. Now that the Stevenage / Lloyds scheme is fully allocated, the Stevenage postcodes could be included in the Herts CC postcode schedule. This would speed up the take up of the Scheme but at the same time would result in an inequitable scheme across the County Council as it is likely that the highest number of mortgages would be taken up in the lowest value areas (eg Stevenage). 52. Detailed conversations with the local mortgage managers at Lloyds and Leeds indicates that they have been unable to support a number of potential applicants as the max loan size is too low. 53. All contact with the lenders has been successful in that all contact telephone numbers are correct, responses from calls to branches and mortgage managers have been successful and the level of knowledge and understanding regarding the Scheme was good. It would appear that there has been some confusion in the Lloyds branches in Hertfordshire but this appears to have been resolved. Calls to the main Lloyds switchboard also failed to be redirected to anybody with knowledge about the Scheme. The conclusion is that the provision of local information is crucial with a view to directing potential applicants to the lenders and providing direct contact numbers. 54. A review of the lenders’ websites indicates that there is very good coverage and information regarding the Scheme. 55. A review of the LA websites indicates that there is excellent or good coverage and ease of access on all sites with the exception of Watford Council where no information could be located. There is also no information on the Welwyn Hatfield and St Albans sites although they do not have a Council level scheme in place - it would be helpful to have a link to the County Council Scheme as the CC Scheme is clearly supporting people in those areas. 56. With regard to press coverage, the publicity in Hertfordshire has been the best seen across the whole of the UK, with attendance by the Housing Minister and national and local press coverage. 57. Many of the LA’s have taken direct action to raise awareness regarding the Scheme including use of websites, e- mails to staff, local newsletters, news coverage and use of posters. However, posters have not been requested by North Hertfordshire or Watford. 58. A series of ‘mystery shopper’ calls were made to all participating LA’s. The response from the phone operator at Hertfordshire County Council and North Hertfordshire was excellent and for Three Rivers was good. However, the response from Broxbourne, Dacorum, East Hertfordshire, Hertsmere, Stevenage and Watford was poor with response varying from ‘we only support social housing’ to ‘phone the County Council’ to ‘we used to have a scheme like that but not any more’.

Suggested Actions 59. Consider raising the maximum loan size to £250k in Dacorum, East Hertfordshire, North Hertfordshire, Watford and for the County Council Schemes. However, it should be noted that the Dacorum and North Herts Schemes with Lloyds are performing well. East Herts is also starting to perform well now that the max loan size is higher. 60. The maximum loan size will need to be raised in Broxbourne, Hertsmere and Three Rivers but £250k may not be sufficient. It is recommended that Officers from these LA’s undertake a further review of local property prices and availability of 2-3 bedroomed houses and raise the maximum loan size to between £250k and £350k. Further information regarding the process for raising the maximum loan size is outlined at Appendix B.

KEY POINTS TO NOTE  Please note that any publicity information (other than those provided by CAS) will need to be checked with the lender first to ensure that it does not breach FCA regulations  It is essential that the information and recommendations contained in this report are read in conjunction with local data and knowledge as the LA’s knowledge of the local property market will be important in determining the most appropriate actions.

Hayley Sullivan Associate Director – Capita Asset Services Interim Report issued - January 2014 Date of Final Report - February 2014

Activity to 31 December 2013

Hertfordshire CC - Lloyds Scheme £2m Applications Offers Completions

Aggregate amounts of loans offered £3,583,675 £443,750 £2,549,875 Aggregate base amount of loans £2,891,662 £362,250 £2,044,538 Aggregated estimated indemnity amount £692,013 £81,500 £505,338 Number of Mortgages 22 3 15 Arrears 0 Hertfordshire CC - Leeds Scheme £1m Applications Offers Completions

Aggregate amounts of loans offered £322,500 £0 £322,500 Aggregate base amount of loans £255,000 £0 £255,000 Aggregated estimated indemnity amount £67,500 £0 £67,500 Number of Mortgages 2 0 2 Arrears 0 Broxbourne - Lloyds Scheme £1m Applications Offers Completions

Aggregate amounts of loans offered £1,129,305 £336,500 £656,955 Aggregate base amount of loans £898,875 £269,250 £522,375 Aggregated estimated indemnity amount £230,430 £67,250 £134,580 Number of Mortgages 7 2 4 Arrears 0 Dacorum - Lloyds Scheme £1m Applications Offers Completions

Aggregate amounts of loans offered £4,077,625 £420,150 £3,111,275 Aggregate base amount of loans £3,237,300 £337,500 £2,468,588 Aggregated estimated indemnity amount £840,325 £82,650 £642,688 Number of Mortgages 25 3 19 Arrears 0

Aggregate amounts of loans offered £526,300 £165,300 £361,000 Aggregate base amount of loans £415,500 £130,500 £285,000 Aggregated estimated indemnity amount £110,800 £34,800 £76,000 Number of Mortgages 3 1 2 Arrears 0 Hertsmere - Lloyds Scheme £2m Applications Offers Completions

Aggregate amounts of loans offered £330,500 £0 £330,500 Aggregate base amount of loans £262,500 £0 £262,500 Aggregated estimated indemnity amount £68,000 £0 £68,000 Number of Mortgages 2 0 2 Arrears 0 North Herts - Lloyds Scheme £1m Applications Offers Completions

Aggregate amounts of loans offered £4,385,110 £555,250 £3,011,110 Aggregate base amount of loans £3,494,588 £450,750 £2,383,088 Aggregated estimated indemnity amount £890,523 £104,500 £628,023 Number of Mortgages 28 4 19 Arrears 0 North Herts - Leeds Scheme £1m Applications Offers Completions

Aggregate amounts of loans offered £573,269 £297,350 £275,919 Aggregate base amount of loans £456,750 £234,750 £222,000 Aggregated estimated indemnity amount £116,519 £62,600 £53,919 Number of Mortgages 4 2 2 Arrears 0

Applications Offers Completions

Aggregate amounts of loans offered £5,180,320 £163,800 £4,505,245 Aggregate base amount of loans £4,149,375 £136,500 £3,608,250 Aggregated estimated indemnity amount £1,030,945 £27,300 £896,995 Number of Mortgages 34 1 30 Arrears 0 Stevenage - Leeds Scheme £0.5m Applications Offers Completions

Aggregate amounts of loans offered £1,742,657 £675,212 £1,067,445 Aggregate base amount of loans £1,376,396 £533,063 £843,334 Aggregated estimated indemnity amount £366,261 £142,150 £224,111 Number of Mortgages 11 4 7 Arrears 0 Three Rivers - Leeds Scheme £1m Applications Offers Completions

Aggregate amounts of loans offered £0 £0 £0 Aggregate base amount of loans £0 £0 £0 Aggregated estimated indemnity amount £0 £0 £0 Number of Mortgages 0 0 0 Arrears 0 Watford - Leeds Scheme £1m Applications Offers Completions

Aggregate amounts of loans offered £186,200 £0 £186,200 Aggregate base amount of loans £147,000 £0 £147,000 Aggregated estimated indemnity amount £39,200 £0 £39,200 Number of Mortgages 1 0 1 Arrears 0

Applications Offers Completions

Aggregate amounts of loans offered £3,348,485 £351,250 £2,189,740 Aggregate base amount of loans £2,649,904 £277,496 £1,734,911 Aggregated estimated indemnity amount £698,581 £73,754 £454,829 Number of Mortgages 22 2 15 Arrears 0

At the present time all LA’s have Indemnity Deeds (contracts) in place defining:  Total indemnity (ie deposit placed with the lender)  Maximum loan size  Postcodes included

In order to change any of the above, the Council must first obtain approval, which involves either:

- Option 1: A report to Cabinet seeking approval to amend the Scheme or - Option 2: In the case of authorities that obtained delegated approval with regard to such matters, no report to Cabinet is required, a decision can then me made under delegated authority (some form of evidence in line with the LA’s constitution and delegated powers will also be required)

An example report relating to an increase in the loan size is shown below:

Option 1 A report containing the following information / recommendations should be presented to Cabinet and approved.

Name of Council sought approval to implement the Local Authority Mortgage Scheme (LAMS) at the Cabinet / Council meeting on XXXX. The Scheme was launched on date.

With the exception of two Schemes in Hertfordshire, the schemes in place are progressing more slowly than would have been anticipated. A comprehensive review has been undertaken by Capita Asset Services and the findings indicate …..

As a result, and with a view to increasing the uptake of the Scheme in Name of Council it is recommended that the maximum loan size on the Scheme be increased from £190,000 to £XXXX.

Recommendations

1. Cabinet approve an increase in the maximum loan size from £190,000 to £XXXX 2. All other recommendations made to the Council in the last report are unchanged and continue to apply

Option 2 If the Council included a delegated decision making power in the original LAMS report to Cabinet, it is suggested that the following action be taken:

- Contact Hayley Sullivan at Capita Asset Services [email protected] to confirm that the Council wishes to raise the maximum loan size under delegated powers. - Share a copy of your original report to Cabinet / Council with H Sullivan. - H Sullivan will liaise with Lloyds to confirm that action can be taken under the delegated powers obtained.