Issue - meetings

Report of the Executive Director Finance and Commercialisation providing a review of prudential limits and treasury management midyear 2020/21.

The Committee considered the report of the Executive Director Finance and Commercialism providing a review of prudential limits and treasury management mid year 2020/21.

The Committee noted that since the beginning of the pandemic, the Government had given advanced grants to local authorities which had been beneficial in meeting costs and it was noted that Southampton City Council was performing above average in benchmarking scores when compared to other local authorities.

The Committee discussed the way in which financial matters were reported and recommended that an All Member Briefing on treasury management was provided in order to share further information on background issues and risk factors.

RESOLVED:

(i)  That the treasury management activities for 2020/21 and performance against Prudential Indicators be noted;

(ii)  That the continued proactive approach to treasury management which had led to reductions in borrowing costs and safeguarded investment income during the year be noted;

(iii)  That approval be given to the removal of the overall limit for investments in Money Market Funds from 50% of total investment, as detailed in paragraph 16 of the report;

(iv)  That delegated authority continued to be given to the S151 Officer to make any future changes which benefitted the authority and to report back at the next Treasury update; and

(v)  That an all Member Briefing be recommended to share further information on treasury management background issues and factors.

It was noted that Councillor Professor Margetts voted against Resolution (iv).