The Local Council Report / Capital & debt / Debt servicing share · markdown view

Debt servicing share

ratio · constructed · council-year

This shows what slice of the council's day-to-day budget goes on its debts each year — repayments plus interest — rather than on services like social care or bin collections. It matters because every pound spent servicing debt is a pound not spent on residents. A high share means debt costs are eating into services and the council has little room if things go wrong; a low share means debt is a minor burden.

councils
313
median
0.07
q1
0.04
q3
0.15
min
-0
max
9.03

Distribution

01.78

Worst 10

CouncilClassValueIn its class
Brentwooddistrict9.031st worst of 163
Wokingdistrict4.172nd worst of 163
Runnymededistrict2.143rd worst of 163
North East Derbyshiredistrict1.84th worst of 163
Mole Valleydistrict1.615th worst of 163
St Albansdistrict1.586th worst of 163
Eastleighdistrict1.387th worst of 163
Basildondistrict1.158th worst of 163
Epping Forestdistrict1.129th worst of 163
Spelthornedistrict1.0910th worst of 163

Best 10

CouncilClassValueIn its class
Erewashdistrict-01st best of 163
South Oxfordshiredistrict05th best of 163
Malvern Hillsdistrict05th best of 163
Bromsgrovedistrict05th best of 163
Vale of White Horsedistrict05th best of 163
Forest of Deandistrict06th best of 163
Tonbridge & Mallingdistrict07th best of 163
Cotswolddistrict08th best of 163
Maldondistrict09th best of 163
North Hertfordshiredistrict010th best of 163

Definition

namedebt_servicing_share
dataset02-capital-outturn-debt
kindconstructed
typenumeric
unitratio
graincouncil-year
rolefeature
sourcedebt_repayment_total / core_spend — (PRU1_prurpy_amt + RS_intextpay_net_exp) (this dataset) divided by RS_totsx_net_exp from 01-revenue-outturn; join on ONS_code/year
period2018-19 to 2024-25
missingnessunknown
calculated../calculated/debt-servicing-share.csv
calculated_rows2972
calculated_periods2018-19 to 2024-25
calculated_date2026-08-13
score_noteBest-in-set: pounds diverted from services to debt, per pound of service spend.
peer_groupdistricts (n=204), unitaries (n=65), metropolitan boroughs (n=36), London boroughs (n=33), counties (n=27) — scored within each class against its median/IQR

The share of each pound of core service spend consumed by repaying capital debt — money not reaching services. It is the most direct efficiency-relevant expression of debt cost: two councils with equal service budgets but different servicing shares deliver different amounts of actual service. Use non-HRA columns so landlord debt does not inflate the numerator.

Validation note (13 Aug 2026)

Independent web validation contradicted this variable for Woking 2024-25: computed 0.287, but published sources (Commissioners' reports, council budget papers) put minimum debt servicing at ~£170m (≈£97m MRP + ~£70m interest) against a ~£19-23m net budget — roughly 9x, not 0.29. Cause: the outturn return records what the council actually charged to revenue — Woking historically under-provided MRP and nets commercial income against interest costs — so for commercial-debt councils this variable reflects accounting practice, not true debt burden. Treat extreme-debt councils' values as a floor, and prefer debt-to-core-spend (CFR-based, which validation supported) for distress signalling.

Birmingham validation pinned the mechanism precisely: our numerator (PRU1 revenue MRP, £139.4m) matches the computed 4.8%, but full debt servicing adds external interest payments (£129.8m in the RS return's "Interest: external payments" line) for a true ~11.4%. The variable as computed is an MRP share, not a debt-servicing share. Fix queued: recompute numerator as MRP + RS external interest.