2020/21 Update on LOBO loans

Research for Action made this Freedom of Information request to Newport City Council as part of a batch sent to 117 authorities

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Response to this request is long overdue. By law, under all circumstances, Newport City Council should have responded by now (details). You can complain by requesting an internal review.

Research for Action

Dear Newport City Council,

We would like to ask for an update on your current and historic LOBO loan portfolio.

We are aware that in 2015 you held a certain number of LOBO loans and that some of these may now have been cancelled or transformed into fixed-rate loans. The information requested below is for all the LOBO loans you originally held in 2015 and any changes to them since.

Please provide:

A. A spreadsheet in .xls format, with one line for each loan and the related information under each of the following column headings:
1. Reference number
2. Principal
3. Initial counterparty
4. Most recent counterparty
5. Date when the loan was transferred to the most recent counterparty.*
6. Has the option been exercised?
7. If yes, date when the option was exercised.
8. Most recent interest rate
9. Fairvalue of the loan at the end of the 2015/16 financial year
10. Fairvalue of the loan at the end of the 2016/17 financial year
11. Fairvalue of the loan at the end of the 2017/18 financial year
12. Fairvalue of the loan at the end of the 2018/19 financial year
13. Fairvalue of the loan at the end of the 2019/20 financial year
14. Fairvalue of the loan at the end of the 2020/21 financial year
15. The name of the Treasury Management Advisor at the time the loan was taken out
16. The name of the broker who arranged the loan
17. The fee paid to the broker to arrange the loan
18. Please indicated if the loan has been cancelled, refinanced, restructured, including cases when the options were removed and the loan was transformed into a fixed-rate loan.

*Note: If there have been other counterparties during the term of the loan, please indicate in the notes the name of the other counterparties and the date when the loan was transferred to them.

B. For all the loans that have been cancelled, refinanced or restructured, including cases when the options were removed, please provide the following additional information:
19. The date on which the loan was cancelled, refinanced, restructured or the option was removed
20. The breakage cost for the cancelling, refinancing or restructuring the loan
21. New interest rate in the case of a restructuring
22. New maturity date in the case of a restructuring
23. Fairvalue of the new loan at the end of 2016/17
24. Fairvalue of the new loan at the end of 2017/18
25. Fairvalue of the new loan at the end of 2018/19
26. Fairvalue of the new loan at the end of 2019/20
27. Fairvalue of the new loan at the end of 2020/21
28. Name of the advisor for the cancelling, refinancing or restructuring of the loan
29. Fee paid to the advisor for arranging the cancelling, refinancing or restructuring of the loan

C. A second spreadsheet in .xls format, with one line for each loan showing the following information:
- 1st column: internal reference number
- 2nd column: Principal
- 3rd column: initial interest rate
- 4th column: most recent interest rate
- 5th column: Original projection of the total interest to be paid over the whole term of the loan (as from the drawdown date to the original maturity date, independently if the loan has now been cancelled or restructured)
- Followed by one column for each financial year, from when the loan was taken out to 2020/21 indicating for each loan the total interest payment made in that year.**

**Note: Please provide the exact payments and not approximate calculations, as payments will vary depending on the calculation method (for example if it is a leap year or not).

D. A copy of all the original loans

Kind regards,

Ludovica Rogers on behalf of Research for Action

Newport City Council

Dear Sir/Madam

Thank you for your request for information about :

LOBO loans

Received on 15/06/2021

This request has been formally logged in our FOI management system and has been assigned the reference REQ09153.
We will endeavour to respond to your request as soon as possible. Please note that due to the current Coronavirus situation in the UK, your request may take longer than usual to respond to and potentially, it could exceed the statutory deadline of 20 working days. Please be assured that we are working to respond to all requests and we appreciate your patience during this extraordinary period.

Please remember to quote the reference number REQ09153 in any future communications.

Yours sincerely,
Information Management

Mae’r Cyngor yn croesawu gohebiaeth yn Gymraeg, Saesneg neu yn y ddwy iaith. Byddwn yn cyfathrebu â chi yn ôl eich dewis. Ni fydd gohebu yn Gymraeg yn arwain at oedi.

The Council welcomes correspondence in English or Welsh or both, and will respond to you according to your preference. Corresponding in Welsh will not lead to delay.

Disclaimer/Ymwadiad

This email contains information intended for the addressee only and may be confidential, the subject of legal or professional privilege, or be otherwise protected from disclosure. If you are not the intended recipient of this message, please notify the sender immediately and do not disclose, distribute or copy the email to any other party. This email and any attached file are the property of Newport City Council.

When you email Newport City Council, you consent to the Council monitoring and reading any such emails for the purposes of security and legislative compliance. For the full disclaimer please access http://www.newport.gov.uk/disclaimer.

Mae'r e-bost hwn yn cynnwys gwybodaeth y bwriedir ar gyfer y derbynnydd yn unig a gall fod yn gyfrinachol, yn destun ragorfraint gyfreithiol neu broffesiynol, neu fel arall wedi’i diogelu rhag cael ei rhyddhau. Os nad chi yw derbynnydd bwriadedig y neges hon, a fyddech cystal â rhoi gwybod i'r anfonwr ar unwaith a pheidio â datgelu, dosbarthu neu gopïo’r e-bost i unrhyw barti arall. Mae’r e-bost hon ac unrhyw ffeiliau atodedig yn eiddo i Gyngor Dinas Casnewydd.

Pan fyddwch yn anfon e-bost at Gyngor Dinas Casnewydd, rydych yn cydsynio i’r Cyngor fonitro a darllen unrhyw e-byst o’r fath at ddibenion cydymffurfio â diogelwch ac â deddfwriaeth. I weld yr ymwadiad llawn ewch i http://www.newport.gov.uk/ymwadiad

Johnson, Emma (Income Collection Manager), Newport City Council

3 Attachments

Thank you for your recent request for information which I have enclosed
below for ease of reference. Your request has been treated in accordance
with the Freedom of Information Act 2000 and/or the Environmental
Information Regulations 2004.

 

Your Request :  REQ09153

 

 

I can confirm that we do hold information that falls within the scope of
your request. The answers to your questions have been provided in the
attached document.

 

Original questions and answers.

 

See Attached document.

 

I hope this provides the information you were looking for; if there is any
further information that we can provide, please submit a further request.
If you have any queries about this email or if you are unhappy with the
service you have received in relation to your request and wish to make a
complaint or request a review of our decision, please contact me.

 

If you are not content with the subsequent outcome of your complaint, you
may apply directly to the Information Commissioner for a decision.
Generally, the ICO cannot make a decision unless you have exhausted the
Councils complaints procedure. The Information Commissioner can be
contacted at: The Information Commissioners Office, Wycliffe House, Water
Lane, Wilmslow, Cheshire SK9 5AF.

 

For future reference, all Freedom of Information requests can now be
submitted via the link below.

 

[1]www.newport.gov.uk/foi

 

Regards

 

Emma Johnson

Rheolwr Casglu Incwm - Income Collection Manager

Cyllid - Finance

Cyngor Dinas Casnewydd - Newport City Council

 

[2][email address]

[3]cid:image001.png@01D4D4F4.C2F7DE80Croeso i chi gyfathrebu â ni yn Gymraeg a
Saesneg - Please feel free to communicate with us in Welsh and English

 

Mae’r Cyngor yn croesawu gohebiaeth yn Gymraeg, Saesneg neu yn y ddwy
iaith. Byddwn yn cyfathrebu â chi yn ôl eich dewis. Ni fydd gohebu yn
Gymraeg yn arwain at oedi.

The Council welcomes correspondence in English or Welsh or both, and will
respond to you according to your preference. Corresponding in Welsh will
not lead to delay.

Disclaimer/Ymwadiad

This email contains information intended for the addressee only and may be
confidential, the subject of legal or professional privilege, or be
otherwise protected from disclosure. If you are not the intended recipient
of this message, please notify the sender immediately and do not disclose,
distribute or copy the email to any other party. This email and any
attached file are the property of Newport City Council.

When you email Newport City Council, you consent to the Council monitoring
and reading any such emails for the purposes of security and legislative
compliance. For the full disclaimer please access
http://www.newport.gov.uk/disclaimer.

Mae'r e-bost hwn yn cynnwys gwybodaeth y bwriedir ar gyfer y derbynnydd yn
unig a gall fod yn gyfrinachol, yn destun ragorfraint gyfreithiol neu
broffesiynol, neu fel arall wedi’i diogelu rhag cael ei rhyddhau. Os nad
chi yw derbynnydd bwriadedig y neges hon, a fyddech cystal â rhoi gwybod
i'r anfonwr ar unwaith a pheidio â datgelu, dosbarthu neu gopïo’r e-bost i
unrhyw barti arall. Mae’r e-bost hon ac unrhyw ffeiliau atodedig yn eiddo
i Gyngor Dinas Casnewydd.

Pan fyddwch yn anfon e-bost at Gyngor Dinas Casnewydd, rydych yn cydsynio
i’r Cyngor fonitro a darllen unrhyw e-byst o’r fath at ddibenion
cydymffurfio â diogelwch ac â deddfwriaeth. I weld yr ymwadiad llawn ewch
i http://www.newport.gov.uk/ymwadiad

References

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1. http://www.newport.gov.uk/foi
2. mailto:[email address]

Research for Action

Dear FOI officer,
Thank you for the information provided, but a lot of what I requested is missing.
Could you kindly provide it in full and in the format requested?
Please also provide the fairvalue for each individual loan, not as a total.
Kind regards,
Ludovica Rogers

Johnson, Emma (Income Collection Manager), Newport City Council

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Thank you for your email regarding the response to your Freedom of
Information Request REQ09153.
 
I have put your comments to the officer that is responsible for collating
the information and their response is as follows:
 
Table A - 9-14 Fair Value not provided for each loan, but as a total.  Our
Statement of Accounts does not require calculation at that detail level. 
It's not an individual metric we actively use, and even Fair Value on
portfolio is of limited use as it is purely illustrative.
 
Table B - none
 
Table C - 5 Total interest to be paid to maturity, - interest rates have
been provided alongside principal to enable the recipient to do their own
calc, but we wouldn't do or hold that forward indicative calculation for
any particular reason.  6.  Interest from when the loan was originally
taken out.  Commonly they were taken out 2002-04, circa 17-19 years ago. 
Following GDPR we do not have the records going back any further than 6
years.
 
I trust that the above explanation answers the queries you raised, however
should this not be the case please let me know.
Regards
 
Emma Johnson
Rheolwr Casglu Incwm - Income Collection Manager
Cyllid - Finance
Cyngor Dinas Casnewydd - Newport City Council
 
[1][email address]
Croeso i chi gyfathrebu â ni yn Gymraeg a Saesneg - Please feel free to
communicate with us in Welsh and English
 
 
 

show quoted sections

Research for Action

Dear FOI officer,
I am still not satisfied with the response.
For the part on the fair value, I would still like to receive the fair value details per year and per loan. To obtain the total fair value, the council must have documents indicating the individual amounts. These are usually provided by the Treasury Management Advisors. I agree, the values are indicative, but that is exactly why I would like to receive them.

In the case of interest payments, if the council documentation only goes back 6 years, I would like to receive the information as requested, for those 6 years.

I have been very clear and specific in my FOI request, so I expect to receive the information as requested and not have to go back and forth so many times.

Kind regards,

Ludovica Rogers

Johnson, Emma (Income Collection Manager), Newport City Council

Dwi allan o'r swyddfa tan 03.08.2021 Nad yw eich neges wedi cael ei anfon
ymlaen a bydd yn cael ei drin pan fi yn dychwelyd. Os na all y mater
arhoswch afonwch e-bost [email address]

 

I am out of the office until 03.08 .2021. Your message has not been
forwarded and will be dealt with on my return. If the matter cannot wait
please email [email address]

 

Emma Johnson Rheolwr Casglu Incwm - Income Collection Manager Cyllid -
Finance Cyngor Dinas Casnewydd - Newport City Council

Mae’r Cyngor yn croesawu gohebiaeth yn Gymraeg, Saesneg neu yn y ddwy
iaith. Byddwn yn cyfathrebu â chi yn ôl eich dewis. Ni fydd gohebu yn
Gymraeg yn arwain at oedi.

The Council welcomes correspondence in English or Welsh or both, and will
respond to you according to your preference. Corresponding in Welsh will
not lead to delay.

Disclaimer/Ymwadiad

This email contains information intended for the addressee only and may be
confidential, the subject of legal or professional privilege, or be
otherwise protected from disclosure. If you are not the intended recipient
of this message, please notify the sender immediately and do not disclose,
distribute or copy the email to any other party. This email and any
attached file are the property of Newport City Council.

When you email Newport City Council, you consent to the Council monitoring
and reading any such emails for the purposes of security and legislative
compliance. For the full disclaimer please access
http://www.newport.gov.uk/disclaimer.

Mae'r e-bost hwn yn cynnwys gwybodaeth y bwriedir ar gyfer y derbynnydd yn
unig a gall fod yn gyfrinachol, yn destun ragorfraint gyfreithiol neu
broffesiynol, neu fel arall wedi’i diogelu rhag cael ei rhyddhau. Os nad
chi yw derbynnydd bwriadedig y neges hon, a fyddech cystal â rhoi gwybod
i'r anfonwr ar unwaith a pheidio â datgelu, dosbarthu neu gopïo’r e-bost i
unrhyw barti arall. Mae’r e-bost hon ac unrhyw ffeiliau atodedig yn eiddo
i Gyngor Dinas Casnewydd.

Pan fyddwch yn anfon e-bost at Gyngor Dinas Casnewydd, rydych yn cydsynio
i’r Cyngor fonitro a darllen unrhyw e-byst o’r fath at ddibenion
cydymffurfio â diogelwch ac â deddfwriaeth. I weld yr ymwadiad llawn ewch
i http://www.newport.gov.uk/ymwadiad

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