Issue - meetings

Report of the Director - Finance and Corporate Services

The Finance Business Partner presented the Capital and Investment Strategy 2026/27 which outlined the Council's approach to treasury management and capital and commercial investment. She confirmed that it was compliant with the Prudential Code.

The Finance Business Partner said that the Council followed the overriding principles of security, liquidity and yield when investing. In relation to ESG, she referred to paragraph 41 of the report.

The Finance Business Partner concluded that that Council did not expect to borrow during the medium term, that commercial investments remained proportionate and that Member and Officer training was ongoing.

Counsellor Thomas referred to the Council’s ability to internally borrow against CIL and s106 monies and the Assistant Director for Finance confirmed that as the Council was holding those balances it was able to borrow internally against them rather than borrowing externally, which would be more expensive. She said that the Council had to apply interest to any funds that it held which was paid over when a claim was made for those funds.

Councillor Wells referred to falling investment reserves as listed on page 141 and the Finance Business Partner said that the reserves of the Council had fallen over the recent years.

Counsellor Thomas referred to the reducing CFR and the Assistant Director for Finance explained that CFR related to money that the Council had spent in advance of having the resources for, that it related to the Council repaying back into the pot of money that it had taken from.

It is RESOLVED that the Governance Scrutiny Group scrutinised and recommended for approval by Full Council:

a)    The Capital Strategy and Capital Prudential Indicators and limits for 2026/27 to 2030/31 contained within Appendix A (paragraphs 4 to 14);

b)    The Minimum Revenue Provision (MRP) Statement contained within Appendix A (paragraphs 15 and 16) which sets out the Council’s policy on MRP;

c)    The Treasury Management Strategy 2026/27 to 2030/31 and the Treasury Indicators contained within Appendix A (paragraphs 17 to 69);

d)    The Commercial Investments Indicators and Limits for 2026/27 to 2030/31 contained within Appendix A (paragraphs 70 to 83);

e)    The Treasury Management Policy Statement for 2026/27 (Appendix B).