Agenda item

To receive a report from the Chief Executive, Deputy 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 2024/25.

Cllr Botterill moved the proposals set out in the report, seconded by Cllr Richard Clewer. He provided details of the volume of financial transactions a council the size of Wiltshire undertook each year, and that sound treasury management was integral to achieving balanced budgets and investments to ensure a prevention led approach to services. The report included summaries of capital plans, minimum revenue provision policy, annual investment strategies and other details.

The Chairman then invited comments from Group Leaders. Cllr Richard Clewer, Leader of the Council, stated the council’s approach to managing and controlling finances was open to full scrutiny and indicated the council’s approach was appropriate and effective.

Cllr Ian Thorn, Leader of the Liberal Democrat Group, supported the comments of the Leader of the Council that treasury management was at the core of how any council could run efficiently and ensure resources for projects and services it wished to delivery. He supported the report and proposals.

Cllr Graham Wright, deputising for the Independent Group indicted his personal support for the report, and Cllr Ricky Rogers, Leader of the Labour Group, stated he supported the proposals.

The Chairman then opened the item to debate.

In support of the motion there was a comment that rises in interest rates created opportunities and risks which saw many local authorities encounter problems, and tributes were paid to the council’s financial team to make information accessible to Members. It was stated borrowing was being prudently managed.

In opposition to the motion there was a comment that there was significant underperformance for Wiltshire Council in its capital programme, and that a lack of spending in appropriate areas this was as significant as overspending. The comment  also questioned if the council had the capacity and knowledge in project management to manage a significant increase in expenditure in forthcoming years, and whether this was deliverable.

Cllr Botterill summarised after debate, stating capital expenditure was about justifiable, controlled and deliverable costs, and that it was not sensible to look at capital totals and conclude it was the result of underdelivery. He stated that often if capital has to be moved into future years estimates this was due to prudent behaviour to ensure taxpayer money was spent to best effect.

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 65 onwards);

d)        Delegate to the Director of Finance and Procurement (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 Director of Finance and Procurement (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 Director of Finance and Procurement (S151 Officer) the authority to select such funds;

h)        Agree the Investment Policy (paragraph 69);

i)          Agree the Creditworthiness Policy (paragraph 73).

In accordance with the Constitution there was a recorded vote.

Votes for the motion (85)

Votes against the motion (1)

Votes in abstention (1)

Details of the recorded vote are attached to these minutes.