Issue - meetings

Report by the Chief Operating Officer

33.1     The Cabinet considered a report by the Chief Operating Officer.

33.2     It was RESOLVED to note the Treasury Management performance in 2020/21 incorporating the mid year review for the first half of 2021/22.

Reason

33.3     The report fulfils the requirement to submit an annual/half yearly report in the form prescribed in the Treasury Management Code of Practice. The report has been considered by the Audit Committee. Short term lending throughout the 18 month period covered achieved returns between 0.37% and 1.01%. The key principles of security, liquidity and yield are still relevant. Officers are currently investigating further opportunities within the strategy to increase investment income whilst minimising costs and maintaining security, in a period of significant uncertainty. 

Report by the Chief Finance Officer

25.1     The Committee considered a report by the Chief Finance Officer, which presented the Strategy which supports the management of risk and the security of the Council’s funds, while ensuring liquidity to meet the authority’s obligations and providing a yield.  The Chief Finance Officer highlighted: the above benchmark rates of return on investments; the paying back of debts at higher rates to interest, to reduce the overall burden and average rate of interest; and the £30 million invested with Standard Chartered to address ESG concerns.

25.2     The Committee discussed:

25.2.1  The investment with Standard Chartered (SC) – the Council has invested in a Fixed Term Deposit earmarked against their Sustainable Investment portfolio.  The Council’s only exposure is to Standard Chartered and not to the organisations in which SC are investing. The Council will be assessing future opportunities to invest in green bond funds, and other funds that are investing in sustainable products. It was confirmed that this agenda is being pushed with our advisors, Link Asset Services. Members of the Committee encouraged officers to explore working with other authorities to stimulate the market for investment opportunities. 

25.3     The Committee RESOLVED to note the report.