Agenda item

Treasury Management Annual Report and Outturn Prudential Indicators 2021/22

Report of the Group Director of Operations.


The Cabinet Member with the Resources Portfolio introduced the report of the Group Director of Operations (previously circulated) providing important information regarding the regulation and management of the Council’s borrowing, investments and cash-flow; treasury activity for 2020/21; and seeking approval of the Prudential Indicator results for 2020/21 in accordance with the Prudential Code.


It was reported that the financial year 2020/21 was an unprecedented year with regard to treasury management due to the ongoing Covid-19 pandemic; the cost of borrowing remained low throughout 2020/21; and that due to recent low returns for cash investments new ways to improve investment returns were continually being sought.


The submitted report summarised the capital expenditure and financing for 2020/21; the Council’s overall borrowing need; the Treasury position as at 31 March 2021; prudential indicators and compliance issues; the economic background for 2020/21; treasury management activity during 2020/21; investment position; and performance and risk benchmarking.


It was also reported that the Council’s treasury management activity during 2020/21 had been carried out in accordance with the Council policy and within legal limits; financing costs had been reduced during the year; and a saving of £0.366M had been achieved from the original Medium-Term Financial Plan.


RESOLVED - (a)  That the outturn 2021/22 Prudential Indicators, as detailed within the submitted report and in Appendix 1, be noted.


(b)  That the Treasury Management Annual Report for 2021/22, as detailed in the submitted report, be noted.


(c)  That the report be forwarded to Council, in order for the 2021/22 Prudential Indicators to be noted.


REASONS - (a)  In order to comply with the Prudential Code for Capital Finance in Local Authorities.


(b)  To inform Members of the Performance of the Treasury Management function.


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


Supporting documents: