Issue - meetings

AGREED that Executive note the contents of the report and submit the following to Council for approval:

1.    The Prudential Indicators and Limits for 2025/26 to 2028/29 relating to capital expenditure and treasury management activity set out in tables 1 to 10 of Appendix 1 of the report.

2.    The Treasury Management Strategy for 2025/26, which included the Annual Investment Strategy for that financial year.

3.    The Minimum Revenue Provision (MRP) Policy for the 2025/26 financial year.

4.    An Authorised Limit for External Debt of £331 million for the 2025/26 financial year.

The Executive Member for Finance submitted a report for Executive consideration.

The report outlined the Council’s prudential indicators for the financial years 2025/26 – 2028/29 and set the framework and approved the limits within which the treasury management operations for this period would work. It fulfilled key legislative and guidance requirements as follows:

·         The setting of the prudential indicators which set out the expected capital activities and treasury management prudential indicators (included as treasury indicators) in line with the Chartered Institute of Public Finance and Accountancy (CIPFA) Treasury Management Code of Practice.

·         The Treasury Management Strategy statement which set out how the Council’s treasury function would support capital decisions taken above, day to day treasury management activities on service delivery and any limitations on these, via the treasury prudential indicators.

·         The approval of the Council’s Minimum Revenue Provision (MRP) Policy, which set out how the Council would pay for historic capital debt for the financial year.

The Authorised Limit for External Debt for the financial year. This was the maximum amount of borrowing that the Council could enter into, with any amount above this limit being deemed illegal.

The Annual Investment Strategy which set out the Council’s criteria for choosing the investment counterparties and limiting exposures to the risk of loss.

The information contained in the report regarding the Council’s capital expenditure plans, treasury management and prudential borrowing activities, indicated that they were:

·         Within the statutory framework and consistent with the relevant codes of practice.

·         Prudent, affordable, and sustainable from the perspective of the S151 Officer.

·         An integral part of the Council’s Revenue and Capital Medium Term Financial Plans.

Thanks were expressed to the Head of Finance and Investment and his team for their efforts in producing the report.

OPTIONS

As it was a statutory requirement to approve the annual treasury management strategy and set of prudential indicators no other options were put forward as part of the report.

AGREED that Executive note the contents of the report and submit the following to Council for approval:

1.    The Prudential Indicators and Limits for 2025/26 to 2028/29 relating to capital expenditure and treasury management activity set out in tables 1 to 10 of Appendix 1 of the report.

2.    The Treasury Management Strategy for 2025/26, which included the Annual Investment Strategy for that financial year.

3.    The Minimum Revenue Provision (MRP) Policy for the 2025/26 financial year.

4.    An Authorised Limit for External Debt of £331 million for the 2025/26 financial year.

REASONS

a)    To comply with the Prudential Code for Capital Finance in Local Authorities and the Department for Levelling Up, Housing & Communities (DLUHC) guidance on investments.

b)    To comply with the Treasury Management Code of Practice for Local Authorities.

c)    To comply with the requirements of the Local Government Act 2003 Part 1.

d)    To approve a financial governance framework within which officers will operate when making both borrowing and investment decisions and entering financial transactions.