Issue - meetings

The report of the Director of Finance and Transformation provided an update on treasury management activity undertaken during April to July of the current financial year and included a mid-year review of the current financial year’s Annual Investment Strategy.  Members were reminded of the parameters which aimed to limit the Council’s exposure to investment risks and invited to note the review of the Council’s long term cash balances. 

Reference was made to the recent reduction in Bank Rate to 0.25% and the likely impact on investment income in the current financial year and over the medium term.  Attention was drawn to the possible use of property and similar funds to mitigate some of that impact and their potential use for ‘new money’ derived from the sale of surplus assets. 

RECOMMENDED:  That the following be commended to the Council:

(1)             the action taken by officers in respect of treasury management activity for the period April to July 2016 be endorsed; 

(2)             the existing parameters intended to limit the Council’s exposure to investment risks be retained; and 

(3)             the review of the Council’s long term cash balances and the use of property funds for subsequent consideration by the Audit Committee in January 2017 be noted.