Agenda item

That the Treasury Management Strategy for 2015/16 be approved and Recommended to Council on 19^th February 2015.

The Assistant Director, Finance & Audit, introduced a report which sought approval to recommend the Treasury Management Strategy 2015/16 to Council on 19^th February 2015.

The Council had total investments of £96m and total borrowing £182m, of which £148m was HRA.  The draft Treasury Management Strategy was set out in Appendix A to the report which detailed the key principles underpinning the proposals; the borrowing and investment strategies; Prudential Indicators and approach to risk management.  Commissioners noted that significant changes to the strategy they had agreed for 2014/15, which increased the diversity of the investment portfolio, had successfully improved the investment returns.  The proposals for 2015/16 did not include any major change to the investment strategy, although the limit for investments in pooled funds was proposed to increase from £7m to £10m.

The Cabinet discussed a number of issues including the outlook for interest rates and the Approved Investment Counterparties and Limits in Table 3 and agreed to recommend the Treasury Management Strategy 2015/16 to Council on 19^th February 2015.

Recommended –  That the Treasury Management Strategy for 2015/16 be approved.