Issue - meetings

This report presents an updated Treasury Management Strategy and Investment Strategy with the primary purpose of enabling the creation of the WRIF and ensuring appropriate overarching controls are in place to manage risk.

Councillor Peter Butlin explained the need to update the council’s investment strategy in the light of the decision made concerning WRIF. He stated that although there is a need to increase borrowing the council has historically been at the low end compared to other local authorities.

Councillor Kam Kaur seconded the motion and reserved the right to speak.

There were no additional comments by members. Councillor Kam Kaur stated that the strategies provide necessary assurances around controls and risk management and Councillor Peter Butlin concluded by stating that it is good to see the council investing in Warwickshire’s people.

Resolved:

That:

1.       The Treasury Management Strategy for 2021/22 (Appendix 1) be approved with immediate effect.

2.       The Investment Strategy for 2021/22 (Appendix 2) be approved with immediate effect.

3.       That the County Council requires the Strategic Director for Resources to ensure that gross borrowing does not exceed the prudential level specified (Appendix 1,Section 3.2, Table 10 “Authorised Borrowing Limit”).

4.       That the County Council requires the Strategic Director for Resources to ensure that gross investment in non-Treasury investments does not exceed the prudential levels specified (Appendix 2, Annex 7).

5.       That the County Council delegate authority to the Strategic Director for Resources to undertake delegated responsibilities in respect of both strategies (Appendix 1, Annex 7, and Appendix 2, Section 2.5).

6.       That the County Council requires the Strategic Director for Resources to implement the Minimum Revenue Provision (MRP) Policy (Appendix 1, Section 2.4).

This report presents an updated Treasury Management Strategy and Investment Strategy with the primary purpose of enabling the creation of a WRIF and ensuring appropriate overarching controls are in place to manage risk.

Cabinet Portfolio Holder: Councillor Peter Butlin

(Item considered after agenda item 6).

Councillor Peter Butlin explained that the report before Council was a direct result of the proposal to create the Warwickshire Recovery and Investment Fund (WRIF). Council was advised that as a consequence of WRIF borrowing will increase sharply. This may seem very high, but it will still place the council in the middle of the range for local authority borrowing. The priority, he added, is to get people back in to work.

Resolved:

That Cabinet recommends to Council that:

1. The Treasury Management Strategy for 2021/22 (Appendix 1) be approved with immediate effect.
   
   
2. The Investment Strategy for 2021/22 (Appendix 2) be approved with immediate effect.
    
3. That the County Council requires the Strategic Director for Resources to ensure that gross borrowing does not exceed the prudential level specified (Appendix 1,Section 3.2, Table 10 “Authorised Borrowing Limit”).
   
   
4. That the County Council requires the Strategic Director for Resources to ensure that gross investment in non-Treasury investments does not exceed the prudential levels specified (Appendix 2, Annex 7).
    
5. That the County Council delegate authority to the Strategic Director for Resources to undertake delegated responsibilities in respect of both strategies (Appendix 1, Annex 7, and Appendix 2, Section 2.5).
   
   
6. That the County Council requires the Strategic Director for Resources to implement the Minimum Revenue Provision (MRP) Policy (Appendix 1, Section 2.4).