Issue - meetings

[To approve the Treasury Management Activity Monitoring - Mid Year Review 2021-2022]

That Council is asked to note:

1.    That a mid-year review of the Treasury Management Strategy Statement had been undertaken and the Council had operated within the limits and requirements approved in March 2021, however due to the reprofiling of some capital programmes the authorised limit and operational boundary for commercial activities for 2022-2023 is forecast to be slightly in excess of the best estimate included in the Treasury Management Strategy presented to Council on 3 March 2021. This would be reviewed as part of the 2022-2023 Treasury Management Strategy.

2.    That revenue underspends of £899,000 for the General Revenue Account and £706,000 for the Housing Revenue Account (HRA) are forecast from treasury management activities in 2021-2022, arising as a result of re-phasing of the capital programme and lower interest rates forecast on borrowing.

The Cabinet notes:

1.    That there had been no change to the UK’s credit rating and therefore the Director of Finance had not been required to use the delegated authority approved by Council on 17 July 2020 to amend the Annual Investment Strategy.

Councillor Ian Brookfield outlined the salient points from the monitoring and progress report on treasury management activity for the second quarter of 2021-2022 as part of the mid-year review, in line with the Prudential Indicators approved by Council in March 2021. He reported that treasury management was a vital part of how the Council operated. Without it, projects listed in the previous report ‘Capital Programme Quarter Two Review’ and policies the Council is pursuing to help the residents of the city would not go into effect.

Resolved:

That Council is asked to note:

1.    That a mid-year review of the Treasury Management Strategy Statement had been undertaken and the Council had operated within the limits and requirements approved in March 2021, however due to the reprofiling of some capital programmes the authorised limit and operational boundary for commercial activities for 2022-2023 is forecast to be slightly in excess of the best estimate included in the Treasury Management Strategy presented to Council on 3 March 2021. This would be reviewed as part of the 2022-2023 Treasury Management Strategy.

2.    That revenue underspends of £899,000 for the General Revenue Account and £706,000 for the Housing Revenue Account (HRA) are forecast from treasury management activities in 2021-2022, arising as a result of re-phasing of the capital programme and lower interest rates forecast on borrowing.

The Cabinet notes:

1.    That there had been no change to the UK’s credit rating and therefore the Director of Finance had not been required to use the delegated authority approved by Council on 17 July 2020 to amend the Annual Investment Strategy.