Issue - meetings

The Overview and Scrutiny Panel is invited to comment on The Treasury Management Outturn Report 2024/25 attached.

Executive Councillor: B Mickelburgh

By means of a report by the Director of Finance and Resources (a copy of which was appended in the Minute Book), the Treasury Management Outturn Report 2024/25 was presented to the Panel.

Councillor Gleadow expressed her appreciation for the new Treasury Management Outturn report format, the graphs made the report a much easier read.

Councillor Martin agreed with Councillor Gleadow in that the report was very detailed and asked for confirmation of any issues that are foreseen that will negatively impact the good financial position (specifically in relation to treasury management) the Council is currently in.  The Panel heard that interest rates are a concern, the forecasts received are from for the Bank of England lending rate rather than general investment interest rates, in addition the Council has a lot of money invested with the DMO and there is little historic evidence, and as a result a risk, in relation to how far and fast the DMO interest rates could fall if general interest rates start to drop (ie DMO could fall faster due to other factors). The DMO is used as there is a guarantee from the Government that they will repay it investments. Another factor to consider is global unrest and how that impacts the economy such as driving inflation or interest rates. The Russia-Ukraine war breaking out was drawn on as an example of this.

Following the discussion, it was

RESOLVED

that the comments of the Overview and Scrutiny Panel be passed to Cabinet for their consideration when making a decision upon the recommendations within the report.