Green MSP calls on Treasury to grant Moray Council loan repayment break
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A GREEN MSP has called on the UK Treasury to grant Moray Council a repayment holiday in loans received for capital projects.
Moray Council currently owes the Public Works Loan Board (PWLB) more than £140 million.
The board is administered by the UK Government and provides loans to local authorities, primarily for significant projects such as homes, schools, roads and flood defences.
In a letter to Chancellor Rishi Sunak this week, Highlands and Islands Green MSP Mr Finnie said a repayment holiday would relieve pressure on local authorities and enable them to continue to support communities struggling with the impact of the virus, while also looking towards recovery.
Mr Finnie said: "Many individuals and businesses have been given repayment holidays, rates relief or other financial support during the coronavirus pandemic.
"It’s now time for the UK Treasury to offer that same support to local authorities who have been on the front line of supporting people affected by Covid-19.
"A temporary repayment holiday from PWLB would significantly relive pressure on Moray Council as we begin to recover from this devastating virus.
"I call on the chancellor to do the right thing and offer this modest helping hand."
In October last year councils were shocked by a Treasury announcement that it was increasing the interest rate for PWLB loans by 1 per cent.
