MRP — policy options and revenue impact
About this course
Asset-life, annuity, EIP-equivalent, voluntary MRP. How each method profiles the revenue charge, when each makes sense, S151 sign-off and audit findings. Includes a draft policy-statement generator.
What you'll learn
- What is MRP?
- The four methods
- Choosing the right method
- Voluntary MRP
- In practice
Part of these pathways
Related courses
- The Capital Financing Requirement (CFR)
- Balance sheet projections
- ESG & sustainable treasury
- Alternatives to PWLB
- After the S114: capitalisation & EFS
- Devolution & reorganisation: the treasury view
Common questions
What is Annuity MRP?
MRP method that profiles the charge as an annuity, like a level mortgage payment. Front-loads less revenue burden than asset-life.
What is Asset-life MRP?
MRP method that charges revenue in proportion to the useful economic life of the asset(s) the borrowing financed. Most common method post-2008.
What is Capital Finance Regulations?
The 2003 Regulations (as amended) under LGA 2003. Set the statutory framework for MRP.
What is CFR?
Capital Financing Requirement. The financing need from past capital expenditure that hasn't been resourced. MRP reduces it each year.
What is Deferred MRP?
Postponing the start of MRP charges until the underlying asset is brought into use — permitted for assets under construction.
What is EIP MRP?
MRP method that uses Equal Instalments of Principal — back-loads less, front-loads more.