Agenda and minutes

Please note that this meeting may be filmed or recorded by the Council for live or subsequent broadcast via the Council’s internet site or by anyone attending the meeting using any communication method. Although we ask members of the public recording, filming or reporting on the meeting not to include the public seating areas, members of the public attending the meeting should be aware that we cannot guarantee that they will not be filmed or recorded by others attending the meeting. Members of the public participating in the meeting (e.g. making deputations, asking questions, making oral protests) should be aware that they are likely to be filmed, recorded or reported on. 

By entering the meeting room and using the public seating area, you are consenting to being filmed and to the possible use of those images and sound recordings.

The chair of the meeting has the discretion to terminate or suspend filming or recording, if in his or her opinion continuation of the filming, recording or reporting would disrupt or prejudice the proceedings, infringe the rights of any individual or may lead to the breach of a legal obligation by the Council.

The Chair referred Members present to agenda Item 1 as shown on the agenda in respect of filming at this meeting, and Members noted the information contained therein.

Apologies were received from Cllr Hakata and Cllr Blake.

None.

There were no Declarations of Interest.

*Clerk’s note 19:02 – the Committee agreed to adjourn at this point in the meeting.*

*Clerk’s note 20:15 – the Chair reconvened the meeting.*

There were no Deputations, Petitions or Questions.

To consider and agree the minutes of the meeting held on 2^nd December 2019.

RESOLVED

The Committee agreed the minutes of the meeting held on 2^nd December 2019 as a correct record.

The Committee received a copy of the Treasury Management Strategy Statement (TMSS) 2020/21 for approval prior to its presentation to Full Council for final approval. The report was introduced by Thomas Skeen, Head of Pensions, Treasury & Chief Accountant as set out in the agenda pack at pages 11-39. The Head of Pensions, Treasury & Chief Accountant advised the Committee that the TMSS had been considered by Overview and Scrutiny Committee at its meeting on 23^rd January. The Committee were advised that OSC did not have any firm recommendations in regards to the TMSS, however there were a number of questions and areas of interest raised by OSC. The Head of Pensions, Treasury & Chief Accountant fed back on the comments received from OSC on 23^rd January:

• OSC sought reassurance around whether the TMSS was benchmarked against other local authorities. Officers advised that regular benchmarking data was provided to Corporate Committee.
• OSC questioned what the main driver/s for the growth in borrowing needs were. In response, officers advised that the biggest factor was the increase in the HRA in order to fund significant investment in the capital programme.
• In response to a question around the level of investment in the revenue budget to support the Council’s increasing capital programme, where the figures for the 2023/24 financial year were referred to as an example, officers advised that the gross position was a revenue budget requirement of around £33.6m but that as a number of the Council’s capital programme schemes were self-financing, some of these increased costs would be offset by savings, which reduced the net position to around £21m.
• The Committee asked questions around whether officers were comfortable with the interest and other additional borrowing costs from a substantial increase in borrowing in order to fund house building etcetera.
• OSC also asked a number of questions around the HRA and the impact on the revenue budget from additional rent receipts arising from a larger housing portfolio.

The following arose during the discussion of the report:

1. The Committee enquired about the Council’s upper limit on short term borrowing of 30% and questioned whether a greater proportion of borrowing should be done on a long term basis, given the risk of interest rate rises and the potential impact this could have on the Council’s ability to build new houses.  In response officers acknowledged these concerns and advised that the Council needed to adopt a balanced approach to its borrowing needs. The Committee was advised that long term borrowing created its own pressures on the revenue budget and that the Council needed to be able to access money at short notice to pay its staff or other overheads, for example. Officers assured the Committee that the 30% upper limit was considered prudent and also emphasised that this was a maximum figure, at the time of the meeting the Council had no short-term debt. 
2. In response to further questions around the short term borrowing limit, officers set out that the limit was 30% of total borrowing  ...  view the full minutes text for item 135.

To consider any items of urgent business as identified at item 3.

N/A

18^th March

18^th March