Issue - meetings

To provide Members with an update on Treasury Management performance and activity to ensure best practice is maintained (report of the Deputy Chief Executive – Corporate Development (S151) enclosed).

Consideration was given to the report of the Deputy Chief Executive, Corporate Development (S151) which provided Members with an update on Treasury Management performance and activity to ensure best practice was maintained.

The Portfolio Holder for Finance presented the report.

The following points were raised:

·       The Chairman of the Governance and Audit Committee stated that this report had been considered by the Committee and thanked the Portfolio Holder and the Finance Team for the work undertaken on the report.

DECISION:

That the contents of the report attached at Appendix 1 be received.

To provide members with an update on Treasury Management performance and activity to ensure best practice is maintained (report of the Deputy Chief Executive – Corporate Development (S151) enclosed).

Consideration was given to the report of the Deputy Chief Executive – Corporate Development (S151) which provided members with an update on Treasury Management performance and activity to ensure best practice was maintained.

The Interim Treasury Manager (PSPS) introduced the report which had been prepared in compliance with the Chartered Institute of Public Finance and Accountancy (CIPFA) code of practice for Treasury Management, and which recommended that members be updated on treasury management activities at least quarterly.

The Mid-Year Treasury Management Report 2024/25, to September 2024, was at Appendix 1 which included the following main areas:

• Capital Strategy and Treasury Management background;
• Introduction to the report;
• Economics and interest rates with commentary provided by Link Group;
• Treasury Management Strategy and Annual Investment Strategy Update;
• The Council’s capital position (Prudential Indicators);
• Borrowing position;
• Debt rescheduling;
• Compliance with Treasury and Prudential limits;
• Annual Investment Strategy; and
• Changes in risk appetite;

Appendix 1A detailed the capital expenditure and financing 2024/25 for the General Fund and the Housing Revenue Account.

Members considered the report and made the following comments:

• Members referred to page 236 of the agenda and queried whether the amount of £8.2 million invested in the CCLA Money Market Fund was close to the investment limit in that fund.
  • The Interim Treasury Manager (PSPS) responded that within its Treasury Management Strategy, the council had set a limit for investment with the CCLA Money Market Fund of £10 million. This limit could be reached however the fund acted as the council’s instant access fund.

• Members referred to the provision for lighting within the General Fund Capital and Financing 2024/25 and asked for clarification of the lighting owned by the council.
  • The Interim Treasury Manager (PSPS) would clarify this position after the meeting.

AGREED:

a)    That after consideration by the Governance and Audit Committee, the report and treasury activity detailed at Appendix 1 be noted; and

b)    That the comments of the Governance and Audit Committee be noted and considered by Council at their meeting on 29 January 2025.