Agenda item

To receive a report from the Chief Executive and the S.151 Officer.

The Chairman invited Cllr Nick Botterill, Cabinet Member for Finance, Development Management, and Strategic Planning, to present a report on the Treasury Management Strategy Statement for 2025/26.

Cllr Botterill moved the proposals set out in the report, which were seconded by Cllr Richard Clewer, Leader of the Council. It was explained that sound treasury management allowed the council to meet its day-to-day obligations by ensuring that borrowing, expenditures and surpluses were managed correctly. This was particularly important given the need to manage financial pressures such as the High Needs Block.

Cllr Botterill highlighted that the last time the council had undertaken significant external borrowing, it had been able to do so at extremely low interest rates. Therefore, he emphasised that was important for any future borrowing to be undertaken at the best possible time, noting current interest rates had risen and were expected to fall less quickly than originally forecast. It was also noted that the report included summaries of capital plans, minimum revenue provision policy and annual investment strategies.

The Chairman then invited comments from group leaders. Cllr Clewer stated the council’s approach to managing and controlling finances was appropriate and effective. He contrasted Wiltshire Council’s approach with many other local authorities that had found themselves in difficulty in part due to issues with borrowing.

Cllr Ian Thorn, Leader of the Liberal Democrat Group, supported the comments of the Leader of the Council, describing treasury management as the engine room of sound and effective finance.  Cllr Ricky Rogers, Leader of the Labour Group, stated he supported the proposals.

The Chairman then opened the item to wider debate. There being no further comments, it was then,

Resolved:

That Council:

a)    Adopt the Minimum Revenue Provision Policy (paragraph 26 – 28)

b)   Adopt the Prudential and Treasury Indicators (paragraphs 17 – 25, 41 – 47 and Appendix A)

c)    Adopt the Annual Investment Strategy (paragraph 64 onwards).

d)   Delegate to the Corporate Director of Resources (S151 Officer) the authority to vary the amount of borrowing and other long-term liabilities within the Treasury Indicators for the Authorised Limit and the Operational Boundary

e)    Authorise the Corporate Director of Resources (S151 Officer) to agree the restructuring of existing long-term loans where savings are achievable or to enhance the long-term portfolio

f)     Agree that short term cash surpluses and deficits continue to be managed through temporary loans, deposits and money market funds

g)   Agree that any surplus cash balances not required to cover borrowing are placed in the most appropriate specified or non-specified investments, particularly where this is more cost effective than short term deposits; and delegate to the Corporate Director of Resources (S151 Officer) the authority to select such funds

h)   Agree the Investment Policy (paragraph 68)

i)     Agree the Creditworthiness Policy (paragraph 72)

j)     Agree the Loans Policy (appendix F)

In accordance with the constitution there was a recorded vote.

Votes for the motion (86)

Votes against the motion (0)

Votes in abstention (1)

Details of the recorded vote are attached to these minutes.