Issue - meetings

3.30pm

Report from the Director for Finance (REPORT TO FOLLOW).

The report contains the annual Treasury Management Strategy Statement and Annual Investment Strategy for 2019/20 in compliance with the CIPFA Code of Practice. The report sets out the borrowing and investment strategies for 2019/20 and relevant background information.

Recommendations agreed.

Tim Chapple introduced the report and drew Members’ attention in particular to the increase the exposure to external funds from £58m to £100m.  Also, a one-off gain of £2.9m will be realised by switching a strategic bond fund from an accumulating fund to an income producing fund.

Tim Chapple and Lorna Baxter responded to points raised by Members as follows:

·         The borrowing for OxLEP has been in the plan since 2016/17 but is only happening now.

·         Business rates in Enterprise Zones are ring-fenced income linked to the Local Enterprise Partnership so there is no impact on other funding.

·         Any decisions on early repayment of LOBO loans would be made by the Treasury Management team in consultation with the Cabinet Member for Finance.

·         An extra £120m to be spent on Highways and Property is in the Capital Programme to be approved by Council in February 2019.  This might involve some internal borrowing.

RESOLVED: to endorse the Treasury Management Strategy for 2019/20 as outlined in the report.