Review Date: May 2027

1. Introduction

Perranzabuloe Parish Council (PPC) is required to maintain adequate financial reserves to meet its operational and strategic needs. This policy outlines the framework for determining, reviewing, and managing both general and earmarked reserves in line with the Local Government Finance Act 1992, the Local Government Transparency Code 2015, and Smaller Authorities’ Proper Practices Panel guidance.  

The Responsible Financial Officer (RFO) is responsible for advising the Council on appropriate reserve levels, ensuring adherence to legislation, best practice and the establishment of suitable procedures.  

Smaller authorities have no specific right to accumulate funds via the precept. According to the Smaller Authorities’ Proper Practices Panel (SAPPP) 2026/27, authorities must:  

  • adopt a Reserve Policy 
  • regularly review the level and purpose of its reserves (at least annually)  
  • provide transparent justification and publication of reserve levels