CITY OF LONDON

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City of London funds


The City Fund

This Fund meets the cost of the City of London’s local authority, police authority and port health authority activities. The Fund generates rental and interest income to help finance these activities. In addition, in common with other local authorities, it receives grants from central government, a share of business rates income and the proceeds of the local council tax.

The City of London retains only a small proportion of the business rates collected from its area, in accordance with the national arrangements. The remainder has to be paid over to the national non-domestic rates pool and is redistributed to local authorities throughout the country by central government.

Because of its special circumstances – notably its very low resident population and high daytime population – the City of London is allowed uniquely to set its own business rate. It may set this rate, subject to certain constraints, at a higher or lower level than the National Non-Domestic Rate determined by central government for the rest of the country. The proceeds of the additional rate of 0.4p levied in financial year 2006/07 are used to provide enhanced policing, security and contingency planning for the Square Mile.

City's Cash

This is a private fund built up over the last eight centuries. Its incomes are derived mainly from property, supplemented by investment earnings and the fund is now used to finance activities mainly for the benefit of London as a whole but also of relevance nationwide. The management and conservation of over 10,000 acres of open space, all of the Lord Mayor's activities, Smithfield, Billingsgate, and Leadenhall markets, three of the highest achieving independent schools in the country and the Guildhall School of Music and Drama – all these are paid for by City’s Cash at no cost to the public.

The City Bridge Trust

The City of London administers this trust fund to maintain five bridges which cross the Thames into the Square Mile. The fund has its origins in medieval times, when finance was needed to build and maintain London Bridge. Over the centuries the fund has grown, enabling it in recent years to provide extensive charitable help for the Greater London area. For more information visit The City Bridge Trust website.


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