Issue - meetings

REPORT OF THE SREVICE DIRECTOR - RESOURCES

To consider the Annual Treasury Management Review 2017/2018

RESOLVED:  That the Annual Treasury Management Review 2017/18 be noted.

REASON FOR DECISION:  To provide an opportunity for the Committee to comment as appropriate on the Annual Treasury Management Review 2017/18.

The Service Director - Resources presented a report in respect of the Annual Treasury Management Review 2017/18, and advised that the report was for consideration prior to presentation to Cabinet on 19 June 2018.

The Service Director - Resources advised that the Council had generated £0.344million of interest from its investments in 2017/18.  The Council had repaid £0.025million of borrowing during the year as it had matured, and had £0.455million of remaining borrowing, at a fixed rate for a fixed period.  The premium incurred from repaying this borrowing early meant that it was not worthwhile to do so.

The Service Director – Resources commented that, whilst the Council had complied with its legislative and regulatory requirements throughout the year, there had been three minor breaches of the limit set on the percentage that could be invested with a single counterparty.  He would be introducing processes aimed at ensuring that there would be no repeat of such breaches.

The Service Director – Resources stated that the forecast for 2018/19 was that investment income would continue to reduce, due to both market conditions and the use of cash balances to fund the Capital Programme.

RESOLVED:  That the Annual Treasury Management Review 2017/18 be noted.

REASON FOR DECISION:  To provide an opportunity for the Committee to comment as appropriate on the Annual Treasury Management Review 2017/18.