Agenda item

Report of the Strategic Director of Finance and Customer Services.

Recommendations:-

1.    That the Treasury Management Prudential Indicators outturn position as set out in Section 3 and Appendices A and B of the Annual Treasury Management Report for 2018/19 be noted.

2.    That the report be forwarded to Audit Committee for information.

Consideration was given to the report which detailed the final treasury report for 2018/19. Its purpose was to review the treasury activity for 2018/19 against the strategy agreed at the start of the year. The report also covered the actual Prudential Indicators for 2018/19 in accordance with the requirements of the Prudential Code.

The report met the requirements of both the CIPFA Code of Practice on Treasury Management and the CIPFA Prudential Code for Capital Finance in Local Authorities.

The Council was required to comply with both the aforementioned Codes through regulations issued under the Local Government Act 2003.

Part of the Council’s Treasury activities was to address the borrowing need, either through borrowing from external bodies, or utilising temporary cash resources within the Council.  The wider treasury activities also included managing the Council’s cash flows, its previous borrowing activities and the investment of surplus funds.  These activities were structured to manage risk foremost, and then optimise performance. The primary objective was security ahead of liquidity and then yield or return.

For 2018/19 provision was made for the estimated borrowing need for the year to partly reduce the Council’s 31st March, 2018 under-borrowed position.  However, the Council had continued to take advantage of the current availability of short-term cash loans at very favourable rates and did not take out any new long-term loans in 2018/19.

Resolved:-  (1)  That the Treasury Management Prudential Indicators outturn position as set out in Section 3 and Appendices A and B of the Annual Treasury Management Report for 2018/19 be noted.

(2)  That the report be forwarded to the Audit Committee for information.