The Cabinet Member with the Resources Portfolio introduced the report (previously circulated) of the Group Director of Operations 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 facilitating wide economic benefits as well as a direct impact on the Council’s financial position; the £50m fund had a commitment against it of £36.43m leaving a balance of £13.57m uncommitted; the Investment Fund had been used for 16 schemes to date, six of which had been recycled back into the fund; and that returns on JV’s were anticipated to be over £7.5m.
Particular reference was made at the meeting to the whether it was the intention to bring back the Indoor Market back under the control of the Council and, should this happen, what would the implications be on the repayment of the loan. The Cabinet Members 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