Issue - meetings

To consider a report by the Head of Financial Services containing a proposed Treasury Management Strategy, which is required under the Council’s Code of Financial Management.

Recommend to Council the Treasury Management Strategy for 2012/13 and the  Treasury Management Indicators and Prudential Indicators for 2012/13.

By way of a report by the Head of Financial Services (a copy of which is appended in the Minute Book) the Cabinet was invited to consider the contents of the Treasury Management Strategy for 2012/13.  The Strategy had been considered by the Overview and Scrutiny Panel (Economic Well-Being) whose comments were relayed to the Cabinet.

Whereupon, it was

RESOLVED

  that the Council be recommended to approve:-

·  the Treasury Management Strategy for 2012/13 as appended to the report now submitted; and

·  the Treasury Management Indicators and Prudential Indicators for 2012/13.

To consider the draft Treasury Management Strategy and Prudential Indicators.

(Councillor J A Gray, Executive Councillor for Resources, was in attendance for this item).

In accordance with its responsibility for scrutinising Treasury Management and with the assistance of a report by the Head of Financial Services (a copy of which is appended in the Minute Book) the Panel reviewed the Treasury Management Policy for 2012/13 and the Treasury Management Strategy and Prudential Indicators for the same period.

Members were advised that the Treasury Management Policy and Strategy formed part of the Council's governance arrangements. The Head of Financial Services explained that the Policy Statement was not significantly different from that prepared for the previous year and reminded the Panel that the Treasury Management Advisory Group met to discuss issues relating to Treasury Management on a regular basis. In considering the contents of the Policy Statement, Members’ attention was drawn to the Council's Investment Policy which stated that all investment decisions must take into account a number of factors, including the security of the investment.

In reviewing the 2012/13 Strategy, Members were informed that in January 2011 the Treasury Management Advisory Group had agreed to retain the Council's existing Treasury Management Advisors and their advice was used by officers on a regular basis. Attention was then drawn to the expected levels of reserves and the need for borrowing to fund capital expenditure over the MTP period. The ‘May Borrow’ figures had been produced following agreement with the Council's previous external auditors that it was legitimate to borrow in advance to fund the five year published programme. Having endorsed the criteria and limits for making investments and the proposed Prudential and Treasury Management Indicators for 2012/13, it was

RESOLVED

that the Cabinet be recommended to endorse the Treasury Management Policy and the Treasury Management Strategy and Prudential Indicators for 2012/13 for submission to the Council.