Issue - meetings

Treasury Management Outturn Report 2016/2017

Meeting: 04/07/2017 - Overview and Scrutiny Committee (Item 50)

50 Treasury Management Outturn Report 2016/2017 pdf icon PDF 381 KB


Steve Kenyon, Interim Executive Director of Resources and Regulation submitted a report from the Cabinet Member for Finance and Housing.


The report provided information on the Council’s debt, borrowing, and investment activity for the financial year ending on 31st March 2017 in conformity with the CIPFA Code of Practice for Treasury Management.  The successful management of the Council’s borrowing and investments is central to the Council’s financial strategy, both in the short term and in ensuring a balanced debt profile over the next 25 to 60 years. 


The overall strategy for 2016/17 was to finance capital expenditure by running down cash/investment balances and using shorter term borrowing rather than more expensive long term loans. The taking out of longer term loans (1 to 10 years) to finance capital spending would only then be considered if required by the Council’s underlying cash flow needs.


Debt decreased slightly during the year, £195,682 million at 31st March 2017 compared to £196,011 million at 31st March 2016. The average borrowing rate rose slightly from 3.95% to 3.96%. Investments at 31 March 2017 stood at £18,550 million, compared to £22,600 million the previous year, the decrease being due to the use of cash/investment balances to repay maturing debt. The average rate of return on investments was 0.58% in 2016/17 compared to 0.71% in 2015/16.


Those present were given the opportunity to ask questions and make comments and the following points were raised:-


·         Councillor Wright referred to the rates for borrowing that were set out in the report and asked whether this was APR.


Steve stated that this was not the case.


·         Councillor Hankey asked that thanks to the Treasury Management Team  from the Overview and Scrutiny Committee be recorded  for their hard work over the 2016/2017 financial year.


It was agreed:


That, in accordance with CIPFA’s Code of Practice on Treasury Management, the report be noted.


Meeting: 28/06/2017 - Cabinet (Item 38)

38 Treasury Management Outturn Report 2016/2017 pdf icon PDF 381 KB


The Cabinet Member (Member for Finance and Housing) submitted a report reviewing the Council’s Treasury Management activities during 2016/2017.


Delegated decision:


That the Treasury Management Annual report 2015/2016 be noted.


Reason for the decision:

The Chartered Institute of Public Finance and Accountancy (CIPFA) Code of Practice on Treasury Management requires that the Council receives an annual review report of the previous year by 30 September.


Other option considered and rejected:

To amend or reject the recommendations.