Issue - meetings

That the report be noted.

The Finance Manager - Technical Accountancy introduced the quarterly update on matters relating to the Council’s 2013/14 Treasury Management Strategy up to the end of February 2014.  It was reported that at the end of February 2014, the Council had a total investment balance of £56m spread across 15 counterparties, with average interest rates of 0.55%.  The schedule of debt showed that no new loans had been taken out since the last update and indicated those loans which had been taken out as a result of debt rescheduling in response to a request made by Councillor Tim Newhouse at the last meeting.  The report also included additional information requested on circumstances relating to Lender’s Option, Borrower’s Option (LOBOs) loans held by the Council, as previously requested.

Following remarks from Councillor Glyn Banks on the commencement date of some loans which had been made as a result of rescheduling, the Finance Manager - Technical Accountancy replied that these had not been rescheduled recently.

In response to a query from Councillor Arnold Woolley on the repayment of loans, the Finance Manager - Technical Accountancy said that a note on borrowing had been circulated to all Members prior to the County Council meeting on 18 February 2014.  This had explained that under the Minimum Revenue Provision policy, monies were set aside to repay debt as part of the wider consideration of capital programme work.  Following a further query, it was estimated that the annual Minimum Revenue payment was in the region of £6m per annum in the Central Loans and Investment Account.  Detail on this was incorporated into budget monitoring reports to the Corporate Resources Overview & Scrutiny Committee.

RESOLVED:

That the report be noted.