Agenda item

That the Treasury Management Strategy for 2017/18 be approved.

The Leader of the Council introduced a report which sought approval to recommend the draft Treasury Management Strategy 2017/18 to full Council on 23^rd February 2017.  It was a requirement to produce a strategy in line with Chartered Institute of Public Finance and Accountancy (CIPFA) codes and through regulations; and the Council was assisted by treasury management advisors Arlingclose.

The Assistant Director Finance & Audit reported that the Council currently had £209m of borrowing, and investments of between £72m and £82m on average throughout the year.  It was confirmed that the Council’s need to borrow, measured by the Capital Financing Requirement, complied with the relevant provisions of the CIPFA prudential code.  The Council’s treasury management performance had been strong in recent years and no major changes to the current policy were being proposed for 2017/18.

Commissioners discussed a number of issues including the balance of risks and controls, particularly in relation to the strategic acquisitions programme.  The Cabinet was assured that the relevant controls were in place and the Assistant Director was comfortable with the risk profile.

Councillors Anderson and Swindlehurst addressed the Cabinet under Rule 30 and commented on the increase in borrowing in the past six months totalling £32m; the revenue pressure of this additional borrowing; housing issues; and the imminent maturity of two loans.  A request was made for benchmarking information on the Council’s comparative treasury management performance and it was agreed that this would be circulated to Members in attendance.

At the conclusion of the discussion, the Cabinet agreed to recommend the Treasury Management Strategy 2017/18 to full Council on 23^rd February 2017.

Recommended –  That the Treasury Management Strategy for 2017/18 be approved.