The council classifies contracts as leases based on their substance. Contracts and parts of contracts, including those described as contracts for services, are analysed to determine whether they convey the right to control the use of an identified asset, through rights both to obtain substantially all the economic benefits or service potential from that asset and to direct its use. Leases are recognised as right-of-use assets with a corresponding liability at the date from which the leased asset is available for use (or the IFRS 16 transition date, if later). This includes arrangements with nil consideration, peppercorn or nominal payment.
| Right-of-Use Assets | Other Land & Building £000's | Vehicles, Plant & Equipment £000's | Total £000's |
|---|---|---|---|
| Net Book Value 1 April 2025 | 46,499 | 1,086 | 47,586 |
| Reclassification from Other Land & Building on transition of IFRS 16 | - | - | - |
| Additions | 23,739 | 325 | 24,064 |
| Revaluation increases/(decreases) recognised in the Revaluation Reserve | 294 | - | 294 |
| Revaluation increases/(decreases) recognised in the Surplus/Deficit on the Provision of Services | (582) | - | (582) |
| Depreciation | (15,809) | (512) | (16,322) |
| Derecognition and Disposals | (2,393) | (41) | (2,434) |
| Net Book Value 31 March 2026 | 51,749 | 858 | 52,606 |
| Right-of-Use Assets | Other Land & Building £000's | Vehicles, Plant & Equipment £000's | Total £000's |
|---|---|---|---|
| Net Book Value 1 April 2024 on transition of IFRS 16 | 60,167 | 1,448 | 61,615 |
| Reclassification from Other Land & Building on transition of IFRS 16 | 17,580 | - | 17,580 |
| Additions | 3,344 | 177 | 3,521 |
| Revaluation increases/(decreases) recognised in the Revaluation Reserve | (2,301) | - | (2,301) |
| Revaluation increases/(decreases) recognised in the Surplus/Deficit on the Provision of Services | 190 | - | 190 |
| Depreciation | (24,647) | (499) | (25,146) |
| Derecognition and Disposals | (7,834) | (39) | (7,873) |
| Net Book Value 31 March 2025 | 46,499 | 1,086 | 47,586 |
*CIPFA has mandated that councils use a modified retrospective approach to adopting IFRS 16. Wherever applicable, opening balances brought forward from 31 March 2024 have been adjusted on transition to IFRS 16 to show restated balances as at 1 April 2024.
The council incurred following expenses and cash flows in relation to leases: