Issue - meetings

“To Follow”

The Executive Member for Finance submitted a report on the Council’s Treasury Management activities for 2013/14 and identified the impact on the 2014/15 treasury management strategy.  The latter would be considered by Members at the November meeting of Audit Committee.

The Director of Finance and Support Services provided Members with a summary of the Council’s operation and the rates of interest achieved in terms of income.  It was noted that in terms of dedicated officer support in the process, the role of managing the treasury had been vacant for some time and the Director was pleased to announce that an appointment had been made on a permanent basis.

The Director of Finance and Support Services provided clarification regarding issues around cash flows which, on one occasion was attributable to a substantial deposit, without notice, relating to a business rate relief payment which required the Council to take remedial action as detailed in the report now submitted.   The Chairman commented on the need to consider cash flows more carefully with the help of the new officer.

In response to a query from Councillor M Pope, the Director of Finance and Support Service explained how the Council placed money with Goldman Sachs and the timescales involved.

In response to a query from Councillor J Wing regarding the cost effectiveness of the new officer, the Director of Finance and Support Services explained that the individual had considerable experience with investing in money markets and anticipated that the appointee would make many times more money than their salary.

The Committee received the report.

RESOLVED – that (A) the treasury management activity for 2013/14 and prudential indicators be approved; and

(B)   remedial action, as now detailed in the report to ensure that the group limit of £20 million for NatWest is consistently maintained, be noted.