Issue - meetings

RECOMMENDED TO CABINET:

(1) The Committee recommends to Cabinet to note the forecast expenditure of £2.424M in 2021/22 on the capital programme, paragraph 8.3 refers;

(2) The Committee recommends to Cabinet to approve the adjustments to the capital programme for 2021/22 onwards, as a result of the revised timetable of schemes detailed in table 2 and 3, increasing the estimated spend in 2022/23 by £0.823M;

(3) The Committee recommends to Cabinet to note the position of the availability of capital resources, as detailed in table 4 paragraph 8.6 and the requirement to keep the capital programme under review for affordability;

(4) The Committee recommends to Cabinet to note the position of Treasury Management activity as at the end of December 2021

REASON FOR RECOMMENDATION:

(1) Cabinet is required to approve adjustments to the capital programme and ensure the capital programme is fully funded.

(2) To ensure the Council’s continued compliance with CIPFA’s code of practice on Treasury Management and the Local Government Act 2003 and that the Council manages its exposure to interest and capital risk.

Audio Recording: 1:01:40

The Service Director – Resources presented the report entitled Third Quarter Investment Strategy Review 2021/22 and highlighted the following key points:

·         Report to go to Cabinet but welcomes feedback from this Committee;

·         Table 2 are the various capital schemes which haven’t taken place this year and so need approval from Cabinet to move across to the next year;

·         Table 3 outlined Section 106 projects and the budget and forecast spend of those;

·         Paragraph 8.9 mentions the small breach of the Treasury Strategy due to the Council’s IT systems were down for the majority of the day and so payments could not be made;

·         Paragraph 8.11 sets out the rates of interest the Council is earning, at the end of the Third Quarter the investment yield was very low but are now increasing for Short Term Investments.

The following Members asked questions:

·         Councillor Adam Compton

·         Councillor Clare Billing

In response to questions, the Service Director – Resources advised:

·         The foreign investment criteria is very high and far above the UK criteria, also set a high quality institution criteria for anything that is international. Also has to be in Sterling.

·         The John Barker Place payments are expected to go out in the year 2022/23 after the 1^st April.

Councillor Keith Hoskins proposed and, following a vote, it was:

RECOMMENDED TO CABINET:

(1) The Committee recommends to Cabinet to note the forecast expenditure of £2.424M in 2021/22 on the capital programme, paragraph 8.3 refers;

(2) The Committee recommends to Cabinet to approve the adjustments to the capital programme for 2021/22 onwards, as a result of the revised timetable of schemes detailed in table 2 and 3, increasing the estimated spend in 2022/23 by £0.823M;

(3) The Committee recommends to Cabinet to note the position of the availability of capital resources, as detailed in table 4 paragraph 8.6 and the requirement to keep the capital programme under review for affordability;

(4) The Committee recommends to Cabinet to note the position of Treasury Management activity as at the end of December 2021

REASON FOR RECOMMENDATION:

(1) Cabinet is required to approve adjustments to the capital programme and ensure the capital programme is fully funded.

(2) To ensure the Council’s continued compliance with CIPFA’s code of practice on Treasury Management and the Local Government Act 2003 and that the Council manages its exposure to interest and capital risk.