A Long Term Investment Plan (LTIP) describes an agency’s or sector’s investment journey subject to their long term vision and goals.
It shows what will be invested in and how investment will occur in order to support the delivery of an agency’s or sector’s strategy.
How does it fit with other planning processes?
Long term planning is one of four inter-related processes that every agency should be doing:
- Strategic thinking develops the long term vision, goals and objectives to ground other planning in. This is usually documented in Strategic Intentions or a Statement of Intent.
- Long term investment planning develops the rationale for, and pipeline of, investments required over the long term journey to arrive at the agreed Strategic Intentions. This is documented in the LTIP.
- Medium term planning develops a comprehensive and integrated short to medium term view of which annual work planning, decision making and performance monitoring can be grounded in. This is documented in a medium term plan where appropriate (eg, Four-year Plan).
- Annual planning develops the detailed work plan the Agency intends to carry out over the coming period. This is documented in plans such as an Annual Plan or Business Plan.
Who needs to produce one?
Every investment-intensive agency will be required to produce a LTIP that covers a minimum period of ten years. The deadline to produce an LTIP will vary by agency and will be aligned with the rollout of the Investor Confidence Rating.
LTIPs must be formally refreshed every two years. However, an agency should be reviewing its LTIP regularly and checking it against its short and medium-term plans and strategic intentions to ensure investment decisions are aligned with its broader activity and strategy.