The Deferred Capital Receipts Reserve holds the gains recognised on the disposal of non-current assets but for which cash settlement has yet to take place. Under statutory arrangements, the council does not treat these gains as usable for financing new capital expenditure until they are backed by cash receipts. When the deferred cash settlement eventually takes place, amounts are transferred to the Capital Receipts Reserve.
| Deferred Capital Receipts Reserve | 2024/25
£000's | 2025/26
£000's |
|---|
| Balance at 1 April | 4,132 | 4,519 |
|---|
| Transfer to the Capital Receipts Reserve upon receipt of cash | (1,624) | (1,238) |
|---|
| Transfers between reserves | 2,011 | 2,033 |
|---|
| Balance at 31 March | 4,519 | 5,314 |
|---|
The Collection Fund Adjustment Account manages the differences arising from the recognition of council tax and non-domestic rates income in the Comprehensive Income and Expenditure Statement as it falls due from council taxpayers and business rates payers compared with the statutory arrangements for paying across amounts to the General Fund from the Collection Fund.
| Collection Fund Adjustment Account | 2024/25 £000's | 2025/26 £000's |
|---|
| Balance at 1 April | 3,234 | 2,080 |
| Amount by which council tax and non-domestic rates income credited to the Comprehensive Income and Expenditure Statement is different from council tax and non-domestic rates income calculated for the year in accordance with statutory requirements | (1,154) | (3,246) |
| Balance at 31 March | 2,080 | (1,166) |
The financial instruments adjustment account absorbs the timing differences arising from the different arrangements for accounting for income and expenses relating to certain financial instruments and for bearing losses or benefiting from gains per statutory provisions.
Financial Instruments Adjustment Account 2024/25 £000's 2025/26 £000's
Balance at 1 April (1,352) (1,317)
Amount by which finance costs charged to the comprehensive income and expenditure statement are different from finance costs chargeable in the year in accordance with statutory requirements 35 37
Balance at 31 March (1,317) (1,280)