Issue - meetings

To submit a report by the Director of Function (Resources)/Section 151 Officer.

It was RESOLVED:-

·       To note that the outturn figures in the report will remain provisional until the audit of the 2023/2024 Statement of Accounts is completed and signed off; any resulting significant adjustments to the figures included in the report will be reported as appropriate;

·       To note the provisional 2023/2024 prudential and treasury indicators in the report;

·       To forward the Annual Treasury Management Review Report for 2023/2024 to the full Council with any comments.

The report of the Director of Function (Resources)/Section 151 Officer incorporating the Treasury Management Annual Review 2023/2024 was presented for the Executive’s consideration.

Councillor Robin Williams, Deputy Leader and Portfolio Member for Finance and Housing presented the report and said that the Council is required by regulations issued under the Local Government Act 2003 to produce an annual treasury management review of activities and the actual prudential and treasury indicators for 2023/2024. This report meets the requirements of both the CIPFA Code of Practice on Treasury Management (the Code) and the CIPFA Prudential Code for Capital Finance in Local Authorities (the Prudential Code).  In accordance with the Scheme of Delegation, the report was scrutinised by the Governance and Audit Committee at its meeting held on 19 September, 2024.  The report will be presented to the full Council once it has been accepted by this Committee. 

The report provides details of the outturn position for treasury activities and to investments and borrowing.

The Director of Function (Resources)/Section 151 Officer reported that the audit of the accounts for 2023/204 is still ongoing, but it is not expected that there will be any matters that will affect the Annual Treasury Management Review.  He noted that the financial strategy has continued over several years to limit the amount borrowed by using the Council’s own cash balances to fund capital expenditure.  This has avoided additional borrowing costs when interest rates are high.  Any surplus cash is invested in the banking sector and lending to other local authorities (which is normal practice between local authorities).  The Council’s cash balances have fallen during the year due to reserves being used to balance revenue budgets, both by the Council and by schools and through using cash balances to fund capital expenditure rather than external borrowing. It is anticipated that there will be a need to borrow at the end of the financial year as it is hoped that interest rates will fall reducing borrowing costs.  

It was RESOLVED:-

• To note that the outturn figures in the report will remain provisional until the audit of the 2023/2024 Statement of Accounts is completed and signed off; any resulting significant adjustments to the figures included in the report will be reported as appropriate;
• To note the provisional 2023/2024 prudential and treasury indicators in the report;
• To forward the Annual Treasury Management Review Report for 2023/2024 to the full Council with any comments.