Issue - meetings

This report provides an update on treasury management activities for the first half of the financial year 2023-24.

Members are asked to note that the report was noted by Cabinet on 15 January 2024 and has been referred on to Council for consideration in compliance with CIPFAs Code of Practice on Treasury Management.

Council RESOLVED to note the 2023-24 Mid-Year Treasury report and that the Council had been fully compliant with the Prudential Indicators set as part of the annual strategy.

Eligible for call-in: No

The Mayor then invited Councillor Tatler, Deputy Leader and Cabinet Member for Finance, Resources & Reform, to introduce the report from the Corporate Director of Finance & Resources updating members on Treasury Management activity for the first half of the 2023-24 financial year. Members noted that the report had also been considered and agreed by the Audit and Standards Advisory Committee on 6 December 2023 and Cabinet on 15 January 2024 who had agreed to refer it on to Council for consideration in compliance with the CIPFA Code of Practice on Treasury Management.

In introducing the report, Councillor Tatler outline the importance of the Council’s Treasury Management function in underpinning all Borough Plan priorities and in ensuring the Council was able to continue meeting its financial obligations including those associated with the affordability and delivery of the Capital Programme.  Whilst recognising the impact of the current economic challenges in terms of interest rates and inflation this had, she pointed out, also provided opportunities in terms of higher investment income and new longer term borrowing options with the strategy aimed at achieving an appropriately low risk balance between securing lower interest costs and achieving cost certainty without compromising the longer-term stability of the debt portfolio.

In thanking officers for the work undertaken in the prudent management and delivery of the Treasury Management Strategy confirmation was provided that the Council was continuing to operate in compliance with the Treasury Management Indicators for 2023-24, as detailed within Appendix 1 of the report and to manage the risks associated with those activities in line with the relevant professional codes and legislation with the Council continuing to monitor alternative sources of funding and pursue the lower cost solutions and opportunities as they were identified.

The Mayor thanked Councillor Tatler for introducing the report and then invited contributions from other members.

In responding to the report, Councillor Lorber highlighted the complexities involved in terms of overall management of the strategy given the current economic challenges and trends identified, which he felt also required consideration moving forward in terms of the potential impact any change in Government nationally may have on tax and borrowing requirements.

As no other members indicated they wished to speak the Mayor invited Councillor Tatler to exercise her right of reply. In closing the debate, Councillor Tatler advised members of the opportunity already provided to seek further details on the longer-term focus of the strategy as part of its consideration by the Audit & Standards Advisory Committee and on this basis, commended the report as submitted to the Council.

Having thanked Councillor Tatler for closing the debate, the Mayor then put the recommendations in the report to the vote and they were declared CARRIED.

Council therefore RESOLVED to note the 2023-24 Mid-Year Treasury report in compliance with the Council’s Treasury Management Prudential Indicators and CIPFA’s Code of Practice on Treasury Management (the Code).