Issue - meetings

This report provides details of the Council’s Treasury Management Strategy 2017/2018 for consideration and approval.

Discussion:

This report provided details of the Council’s Treasury Management Strategy for the 2017/2018 financial year, incorporating the Treasury Management Policy Statement, Annual Investment Strategy and Minimum Revenue Provision Policy.

The report had been considered by the Audit Committee on 10 January and Cabinet on 7 February 2017, as detailed in paragraphs 16 and 17 of the

report.

A Diversity Impact Assessment had been carried out on the proposed Strategy, as detailed in Appendix 6 to the report.

The Leader of the Council, Councillor Jarrett, supported by the Portfolio Holder for Resources, Councillor Gulvin, proposed the recommendations in the report.

Decision:

The Council approved the Treasury Management Strategy as set out in

the report and Appendices 1-5 to the report, including the following revisions:

·         the change in borrowing strategy to enable the Council to borrow in advance of need.

·         the use of Money Market Funds as part of the Council’s investment portfolio.

·         the removal of the £5m counter party limit and the imposition of a maximum of 40% of total investments in Property Funds.

Background:

This report provided details of the Council’s Treasury Management Strategy for 2017/2018. The report provided details of the Minimum Revenue Provision (MRP) and the Policy Statement for 2017/2018 as set out in Appendix 1 to the report. It was noted that the Treasury Management Strategy for 2017/2018 covered the following issues:

·                    Capital plans and the prudential indicators

·                    The MRP policy

·                    The current treasury position

·                    Treasury indicators which will limit the treasury risk and activities of the Council

·                    Prospects for interest rates

·                    The borrowing strategy

·                    Policy on borrowing in advance of need

·                    Debt rescheduling

·                    The investment strategy

·                    Creditworthiness policy

·                    Policy on use of external service providers.

Proposed amendments to Treasury Management Practices were set out in Appendix 7 to the report.

The Audit Committee considered this report on 10 January 2017 and its comments were set out in paragraph 16 of the report.

A Diversity Impact Assessment had been undertaken on the Treasury Management Strategy, as set out in Appendix 6 to the report.

Reasons:

Cabinet has the responsibility to make recommendations to Full Council on the approval of the Council’s Treasury Management, Investment Strategy and Minimum Revenue Provision Policy Statement and has responsibility for the implementation of the Treasury Management Practices and associated schedules.