Decision details

(Cabinet Member with Special Responsibility Councillor Bryning)

Cabinet received a report from the Head of Resources which set out the 2013/14 Treasury Management Framework for Cabinet’s approval and referral on to Council.

The options, options analysis, including risk assessment and officer preferred option, were set out in the report as follows:

Cabinet might put forward alternative proposals or amendments to the proposed Strategy in Appendix B to the report, but these would have to be considered in light of legislative, professional and economic factors, and importantly, any alternative views regarding the Council’s risk appetite.  As such, no further options analysis was available at this time.   Furthermore, the Strategy must fit with other aspects of Cabinet’s budget proposals, such as investment interest estimates and underlying prudential borrowing assumptions, feeding into Prudential and Treasury Management Indicators. 

The officer preferred option was to approve the framework as attached to the report, allowing for any amendments being made under delegated authority prior to referral to Council.  This was based on the Council continuing to have a low risk appetite regarding investments. It was stressed in terms of treasury activity, there was no risk free approach.  It was felt though that the measures set out in the report provided a sound framework within which to work over the coming year.

Councillor Bryning proposed, seconded by Councillor Barry:-

“(1)      That the recommendation, as set out in the report, be approved.”

Councillors then voted:-

Resolved unanimously:

 (1)       That the Finance Portfolio Holder be given delegated authority to finalise the Treasury Management Framework, as updated for Cabinet’s final budget proposals, for referral on to Council.

Officer responsible for effecting the decision:

Head of Resources

Reasons for making the decision:

As part of the adoption of the CIPFA Code of Practice on Treasury Management it was a statutory requirement that the authority had a Treasury Management Strategy Statement and Investment Strategy.  The decision based on the Council continuing to have a low risk appetite regarding investments took into account the requirements of the Code.