Issue - meetings

Treasury Management Policy and Strategy 2018/19

 

 

Meeting: 01/03/2018 - Council (Item 94)

94 Treasury Management Policy and Strategy 2018/19 pdf icon PDF 291 KB

Report of the Head of Corporate Resources

Minutes:

Further to Minute No. 120 of the Cabinet Meeting held on 15 February 2018, the Council considered the report of the Head of Corporate Resources which provided details of the proposed procedures and strategy to be adopted in respect of the Council’s Treasury Management Function in 2017/18.

 

It was moved by Councillor Maher, seconded by Councillor Fairclough and

 

RESOLVED:

 

That approval be given to:

 

(1)      the Treasury Management Policy Document for 2018/19 as set out in Annex A of the report;

 

(2)      the Treasury Management Strategy Document for 2018/19 as set out in Annex B of the report; and

 

(3)      the basis to be used in the calculation of the Minimum Revenue Provision for Debt Repayment in 2018/19 as set out in Annex C of the report.

 

Meeting: 15/02/2018 - Cabinet (Item 120)

120 Treasury Management Policy and Strategy 2018/19 pdf icon PDF 291 KB

Report of the Head of Corporate Resources

Minutes:

 

The Cabinet considered the report of the Head of Corporate Resources that set out the following proposed policy and strategy documents, namely the Treasury Management Policy, the Treasury Management Strategy and the Minimum Revenue Provision Policy Statement.

 

The report indicated that the Council had adopted CIPFA’s revised 2017 Code of Practice on Treasury Management in the Public Services which recommended the production of annual Treasury Management Policy and Strategy Documents; that in addition, the Council had also adopted, and incorporated into both documents:

 

(a)

the requirements of the 2017 Prudential Code for Capital Finance in Local Authorities; and

 

(b)

an Investment Strategy produced in line with guidance from the then Office of the Deputy Prime Minister, concerning the investment of surplus funds. This set out the manner in which the Council would manage its investments, giving priority to the security and liquidity of those investments.

 

The report also detailed that the CIPFA Code required that the Treasury Management Policy Document should outline the broad policies, objectives and approach to risk management of its treasury management activities; that the Treasury Management Strategy Document should set out specific treasury activities that would be undertaken in compliance with the Policy in 2018/2019; and Suitable Treasury Management Practices, setting out the manner in which the organisation would seek to achieve these policies and objectives, and prescribing how it would manage and control those activities.

 

The following Annexes were attached to the report:-

 

Annex A

Treasury Management Policy

 

Annex B1

Treasury Management Strategy

 

Annex C

Minimum Revenue Provision Policy Statement

 

Decisions Made:  That the Cabinet recommend to the Council that:

 

(1)                the Treasury Management Policy Document for 2018/2019, as detailed in Annex A to the report be agreed;

 

(2)    The Treasury Management Strategy Document for 2018/2019, as detailed in Annex B to the report be agreed; and

(3)    The Minimum Revenue Provision Policy Statement 2018/2019, as detailed in Annex C to the report be agreed.

 

 

 

Reasons for the Decisions:

 

The Council has adopted CIPFA’s Code of Practice on Treasury Management in the Public Services. The Code requires that the Council sets a policy and strategy for the effective operation of the Council’s Treasury Management function during the financial year.  This will ensure that cash flow is adequately planned, surplus monies are invested commensurate with the Council’s risk appetite whilst providing adequate portfolio liquidity, and that the borrowing needs of the Council are properly managed to ensure that the Council can meet its capital spending obligations. 

 

 

Alternative Options Considered and Rejected: No alternative options were considered or reported.