Issue - meetings

To submit the report of the Head of Function (Resources)/Section 151 Officer.

It was resolved:

·        To accept the Treasury Management Mid-Year Review report and to forward it to the next meeting of the County Council without further comment.

·        That the report is referred on to the Audit and Governance Committee for its review and feedback to the Executive.

The report of the Head of Resources and Section 151 Officer incorporating the Treasury Management Mid-Year Review for 2015/16 was presented for the Executive’s consideration.

The Portfolio Member for Finance informed the Executive that the mid-year review report is to be referred to the Audit and Governance Committee and to the County Council and covers the Authority’s borrowing and investment arrangements. The Portfolio Member said that the position has not changed significantly from that of last year due to the continuing low level of interest rates and the outlook for the UK economy.

In response to a question about debt rescheduling and whether the authorised boundary for external debt has been assessed following the announcement of the draft settlement for Anglesey, the Head of Resources and Section 151 Officer said that the Authority has sought guidance from its treasury advisors regarding the benefits of debt rescheduling but because the premium charge that would  occur on all premature repayment of loan is greater than the savings in interest payments it was deemed not to be cost-effective. The situation will be kept under review in line with any interest rates movements. The Officer said that because the report was prepared before the announcement of the local government settlement was made, no assessment of the authorised boundary for external debt has been carried out. However, he foresaw that the Authority would remain within limits and that the details will be included in the report to the Executive on the capital programme.

It was resolved:

•  To accept the Treasury Management Mid-Year Review report and to forward it to the next meeting of the County Council without further comment.

•  That the report is referred on to the Audit and Governance Committee for its review and feedback to the Executive.