Issue - meetings

Report of the Director – Finance and Corporate Services

The Head of Finance presented the Capital and Investment Strategy update 2024/25 which summarised the capital and investment of the Council for the period 1 April to 30 June 2024. The Strategy included indicators that help ensure the Council’s capital investment plans are affordable, prudent and sustainable in accordance with CIPFA’s Code of Practice for Treasury Management.

In the supporting information provided within the report, the Head of Finance highlighted some of the key headings as follows:

·       Economic Forecast

·       Investment Income

·       Capital Expenditure and Financing

·       Treasury management and Prudential Indicators

·       Commercial Investments

With regards to the Council’s investments the Head of Finance advised the Group that the Council is assessing the options for investing in high quality UK Government Bonds, which have a lower risk of default.

In concluding the Head of Finance explained that Treasury Management continues to be fraught with difficulty as the UK economy recovers. Risk remains globally along with inflationary pressures and falling interest rates and the ongoing international conflicts which could rise to further economic instability.

The Chair commented on the Council’s portfolio and diversity of investments and how these were measured and controlled. The Chair also highlighted the Council’s commercial investments and the occupancy rates being at 100%, which is an outstanding achievement.

The Chair reminded the Group about the Treasury training scheduled for 17 December 2024 and advised how this was essential for all members of Governance Scrutiny Group.

It was RESOLVED that Governance Scrutiny Group note the Capital and Investment Strategy update position as of 30 June 2024.