The Cabinet Member with the Resources Portfolio introduced the report of the Group Director of Operations (previously circulated) updating Cabinet on progress against the agreed investments being funded through the Investment Fund.
The submitted report stated that in November 2016 the Council established an Investment Fund to be used for innovative investment opportunities beyond the traditional Treasury Management Strategy in order to achieve greater returns given the low returns on investment; the fund provision of £50m was being utilised as envisaged in the original reports to Council to include Joint Venture (JV) vehicles and economic regeneration initiatives; returns on JV’s were anticipated to be over £6.7m; three of the JV schemes had completed with the investment fully repaid and recycled back into the fund; and that the Investment Fund was currently funding ten schemes.
Particular references were made at the meeting to the repayment of the loan by Market Asset Management (MAM) Ltd.; bringing the Market back into Council ownership; and requesting that consideration be given to improving Social Value in JV developments. The Cabinet Member with the Resources Portfolio and the Economy Portfolio responded thereon.
RESOLVED - That the use of the Investment Fund and the returns achieved through the joint venture vehicles, as detailed in the submitted report, be noted.
REASONS –(a) To keep Cabinet informed of progress made on opportunities undertaken and investment returns.
(b) To increase development opportunities and income for the Council.