Continued Government resistance to the establishment of a collective municipal bonds agency is blocking City investment into infrastructure schemes vital for local economic growth, council chiefs have alleged.

Speaking to The MJ this week, Sir Merrick Cockell, chairman of the Local Government Association (LGA) branded the Exchequer's opposition to alternative borrowing mechanisms 'bizarre' and urged councils to proceed without permission from the Treasury – or risk losing out to international competitors in the global race for growth.