Issue - meetings

Treasury Management Policy and Strategy 2024/25

 

 

Meeting: 29/02/2024 - Council (Item 101)

101 Treasury Management Policy and Strategy 2024/25 pdf icon PDF 953 KB

Report of the Executive Director of Corporate Resources and Customer Services

Minutes:

Further to Minute No. 130 of the meeting of the Cabinet held on 8 February 2024, the Council considered the report of the Executive Director of Corporate Resources and Customer Services that set out proposed policy and strategy documents for the Treasury Management Policy; the Treasury Management Strategy; and the Minimum Revenue Provision Policy Statement.

 

The following appendices were attached to the report:

 

·       Appendix A – Treasury Management Policy 2024/25

·       Appendix B – Treasury Management Strategy 2024/25

·       Appendix C – Minimum Revenue Provision Policy Statement 2024/25

 

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

 

RESOLVED:

 

That approval be given to the:

 

(1)      the Treasury Management Policy Document for 2024/25;

 

(2)      the Treasury Management Strategy Document for 2024/25; and

 

(3)      the Minimum Revenue Provision Policy Statement 2024/25.

Meeting: 08/02/2024 - Cabinet (Item 130)

130 Treasury Management Policy and Strategy 2024/25 pdf icon PDF 953 KB

Report of the Executive Director of Corporate Resources and Customer Services

Minutes:

Further to Minute No. 41 of the meeting of the Overview and Scrutiny Committee (Regulatory, Compliance and Corporate Services) held on 6 February 2024, the Cabinet considered the report of the Executive Director of Corporate Resources and Customer Services that set out proposed policy and strategy documents for the Treasury Management Policy; the Treasury Management Strategy; and the Minimum Revenue Provision Policy Statement.

 

The following appendices were attached to the report:

 

·       Appendix A – Treasury Management Policy 2024/25

·       Appendix B – Treasury Management Strategy 2024/25

·       Appendix C – Minimum Revenue Provision Policy Statement 2024/25

 

Decisions Made:

 

That the Council be recommended to approve:

 

(1)      the Treasury Management Policy Document for 2024/25;

 

(2)      the Treasury Management Strategy Document for 2024/25; and

 

(3)      the Minimum Revenue Provision Policy Statement 2024/25.

 

Reasons for the Decisions:

 

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

 

Alternative Options Considered and Rejected:

 

None.

 

Meeting: 06/02/2024 - Overview and Scrutiny Committee (Regulatory, Compliance and Corporate Services) (Item 41)

41 Treasury Management Policy and Strategy 2024/25 pdf icon PDF 943 KB

Report of the Executive Director of Corporate Resources and Customer Services

 

Minutes:

The Committee considered the report of the Executive Director of Corporate Resources and Customer Services on the Treasury Management Policy and Strategy 2024/25.

 

The report indicated that the Council had adopted CIPFA’s 2021 Code of Practice on Treasury Management in the Public Services (the Code) 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 2021 Prudential Code for Capital Finance in Local Authorities; and

 

(b)

an Investment Strategy produced in line with the then Ministry of Housing Communities and Local Government (MHCLG) Statutory Guidance on Local Government Investments 2018, which 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 advised that the Code required the Council to produce:

 

(a)

a Treasury Management Policy Document (attached as Appendix A to the report) which outlined the broad policies, objectives and approach to risk management of its treasury management activities;

 

(b)

a Treasury Management Strategy Document (attached as Appendix B to the report) which set out specific treasury activities that would be undertaken in compliance with the Policy in 2024/25;

 

(c)

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; and

 

(d)

Investment Management Practices for investments that were not part of Treasury management activity.

 

Also attached to the report as Appendix C was the Minimum Revenue Provision Policy Statement 2024/25.

 

This report would also be considered by Cabinet and Council at their meetings to be held on 8 and 29 February 2024 respectively.

 

The Committee was requested to consider the proposed policies and strategy documents which included the objectives and operation of the Council’s Treasury Management functions, the manner in which the Council would manage its investments and the methodology used to set aside revenue provision for the repayment of debt; and provide any comments to Council that would be considered as part of the formal approval of the Treasury Management Policy, Treasury Management Strategy and Minimum Revenue Provisions Policy Statement.

 

Members of the Committee asked questions/commented on the following issues:

 

·       The processes in place to ensure that  external  scrutiny of the Council’s Treasury Management Policy and Strategy was undertaken.

·       The assumptions taken into account regarding interest when drawing up the Council’s budget.

·       Confirmation was sought, and given, that the Council did not currently have any overseas investments.

 

RESOLVED:

 

That the report on the Treasury Management Policy and Strategy 2024/25 be noted.