Decision Maker: Governance and Audit Committee
Decision status: Deleted
Is Key decision?: No
Is subject to call in?: No
Report
The Committee were asked to scrutinise the Draft Treasury Management Strategy with a view to recommending its inclusion within the Medium Term Financial Plan.
Two key changes were presented for Members’ consideration these being as follows: -
Short term investments currently did not offer great returns so were not the favoured option presently. Liquidity and security were higher considerations over yield.
Members asked a number of pertinent questions particularly around the implications of the borrowing strategy going forward.
Members sought indication as to whether the countyparty list was being affected by the Government removing its support for some banks and lenders. Officers advised it did create some limitations for example the Council could only currently invest in UK Banks and only for short term investments due to the ratings. Greater use was therefore being made of money marketing funds, however the Council wanted to make longer term investments in order to generate greater returns and would therefore be looking at bonds for example.
Officers confirmed the return on the LAPAF was currently around 5% and had been advised this was achievable for the foreseeable future. It was noted however the redemption price could fluctuate.
RESOLVED that
(a) having scrutinised the draft Treasury Management Strategy it be RECOMMENDED to Full Council for inclusion within the Medium Term Financial Plan; and
(b) the Treasury Management practises be acknowledged.
Report author: Tracey Bircumshaw
Publication date: 30/03/2017
Date of decision: 17/01/2017
Decided at meeting: 17/01/2017 - Governance and Audit Committee
Accompanying Documents: