51 Treasury management strategy - annual review PDF 183 KB
To consider report 63/11 of the head of finance.
The committee considered report 63/11 of the head of finance. This reviewed the treasury management and investment strategy and sought the committee’s approval for the draft strategy for 2012/13 to 2014/15 for recommendation to Cabinet and Council. The committee noted that the officers would correct the dates in the table in paragraph 31 of the draft strategy.
In answer to a question from a councillor, the committee noted that the council rarely invested in European banks, preferring to invest in government-backed UK banks. The committee also noted the officers’ intention to introduce treasury management training for officers in the accountancy team shared with South Oxfordshire District Council. It was hoped that an update could be given at the next meeting.
The committee noted that the treasury management and investment strategy split the percentage of investment between physical property and financial investments 80:20. The committee queried whether this ratio was still relevant. The committee asked the officers to raise this with the council’s asset management group.
(a) approve each of the following elements and recommend them to Cabinet for formal adoption by Council:
(i) The Treasury Management Strategy 2012/13 to 2014/15 and the treasury Prudential Indicators contained within Appendix A (paragraph 31);
(ii) The Authorised Limit Prudential Indicator as shown in paragraph 6 of the strategy; and
(iii) The Investment Strategy 2012/13 contained in the treasury management strategy (Appendix A), and the detailed criteria included in Annex A1.
(b) request the council’s asset management group to consider whether the ratio of physical property and financial investments was still fit for purpose.