Decision details

Treasury Management and Capital Strategies 2019/20 - 2023/24

Decision Maker: Council

Decision status: For Determination

Is Key decision?: No

Is subject to call in?: No


Councillor Andrew Jarvis, Finance Portfolio Holder, presented a report setting out the Council’s Treasury Management Strategy and Capital Strategy for 2019/20 – 2023/24. The Strategies had been updated to reflect the 2019/20 Budget and Capital Programme.


The framework fulfilled five key legislative requirements relating to the setting of prudential indicators, the Council’s Minimum Revenue Provision (MRP) Policy, the Treasury Management Strategy Statement the Investment Strategy and the Capital Strategy, details of which were provided.


The report reflected the budget proposals which had been approved for consultation by Council on 18 December 2018.


The Treasury Management Strategy was based on the proposed Capital Programme for 2018/19 – 2023/24 as considered by Council on 18 December 2018 and Councillor Jarvis felt that it was both prudent and professional, whilst allowing the Council to deliver above benchmark returns, generating year-on-year income that supported its revenue budget.


The Capital Strategy included potential capital expenditure not currently in the proposed Programme and arising from the review of Council Assets.  The resulting indicators in the Capital Strategy were, therefore, higher as it included potential expenditure and borrowing which might not arise, depending on future decisions around service delivery.  The Capital Strategy would assist in ensuring that the Council had funds available in the future to meet future opportunities which might arise.  It also considered organisational issues, including how the Capital Programme would be prioritised and considerations, including capacity to deliver.  Councillor Jarvis drew attention to an error within Section 5 of the Capital Strategy under paragraph 5.2 where the figure earned by the Council in relation to its 23 investment properties should read £0.464m and not £0.325m.


The Strategies ensured that the Council had robust arrangements for investing and that it only borrowed where it was appropriate and affordable.


The report had also been considered by the Overview and Scrutiny Committee on 11 January 2019.  Cabinet, on 6 February 2019, had recommended approval by Council of the Strategies and authorised borrowing limits.  Councillor Jarvis pointed out that publication of this Capital Strategy in such detail improved the transparency of the Council and hoped that it provided reassurance that the Council continued to operate in a prudent and professional manner.


Councillor Jarvis moved approval of both of the strategies, thanking officers who had worked on them.  This was seconded by Councillor Graham Vincent, Economy and Assets Portfolio Holder, and it was unanimously


RESOLVED – That the Treasury Management and Capital Strategies and the authorised borrowing limits within the report be approved.


Note – In accordance with the Council’s Constitution, Part 4, Rule 8 (Rules of Procedure), a motion to continue the meeting past 9.30 p.m., moved by Councillor Matt Severn and seconded by Councillor Dyan Jones, was carried.

Report author: Claire Read

Publication date: 11/03/2019

Date of decision: 26/02/2019

Decided at meeting: 26/02/2019 - Council

Accompanying Documents: