Issue - items at meetings - Treasury Management Policy and Strategy 2021/22

Report of the Executive Director Corporate Resources and Customer Services.

Further to Minute No. 100 of the meeting of the Cabinet held on 11 February 2021 the Council considered the report of the Executive Director of Corporate Resources and Customer Services that set out the following proposed policy and strategy documents, namely, the Treasury Management Policy, as set out in Annex A to the report; the Treasury Management Strategy. as set out Annex B to the report and the Minimum Revenue Provision Policy Statement, as set out in Annex C to the report.

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; and that in addition, the Council had 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 the Ministry of Housing Communities and Local Government (MHCLG) Statutory Guidance on Local Government Investments 2018. This set out the manner in which the Council would manage its investments, giving priority to the security and liquidity of those investments.

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

RESOLVED: That:

(1) the Treasury Management Policy Document for 2021/22 be approved;

(2) the Treasury Management Strategy Document for 2021/22 be approved; and

(3) the Minimum Revenue Provision Policy Statement 2021/22 be approved.

Report of the Executive Director of Corporate Resources and Customer Services

The Cabinet considered the report of the Executive Director of Corporate Resources and Customer Services that set out the following proposed policy and strategy documents, namely, the Treasury Management Policy, as set out in Annex A to the report; the Treasury Management Strategy. as set out Annex B to the report and the Minimum Revenue Provision Policy Statement, as set out in Annex C to the report.

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; and that in addition, the Council had 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 the Ministry of Housing Communities and Local Government (MHCLG) Statutory Guidance on Local Government Investments 2018. This set out the manner in which the Council would manage its investments, giving priority to the security and liquidity of those investments.

Decision Made:

That the Council be recommended to approve:

(1)

the Treasury Management Policy Document for 2020/21, as set out in Annex A to the report;

(2)

the Treasury Management Strategy Document for 2020/21, as set out in Annex B to the report; and

(3)

the Minimum Revenue Provision Policy Statement 2020/2; as set out in Annex C to the report.

Reasons for Decision:

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:

None.

Issue - meetings

Treasury Management Policy and Strategy 2021/22

Meeting: 04/03/2021 - Council (Item 66)

Meeting: 11/02/2021 - Cabinet (Item 100)