Annual Report on the Treasury Management Service and Actual Prudential Indicators 2020/21
Meeting: 08/07/2021 - Council (Item 73)
Report of Councillor Phil Cowen, Executive Member for Finance, Revenues & Benefits.
Members are asked to note that this report was discussed and the Governance & Audit Committee meeting on Thursday, 24 June 2021 and the first recommendation was recommended to Full Council accordingly.
Alison Chubbock, the Assistant Director of Finance & S151 Officer presented the report.
The report was an annual regulatory requirement and detailed the Council’s Capital spend in the last year and highlighted that it had been fully funded. It detailed the Council’s cash, investment and Reserve balances and confirmed that the Council had complied with all indicators and had kept within those indicators.
The report was discussed at a recent Governance & Audit Committee and recommended to Council for approval.
Councillor Borrett, the Chairman of the Governance & Audit Committee thanked the Officers for this report. He pointed out that Breckland Council continued to be debt free and did not have any borrowing requirements which was quite unusual in these uncertain times. He was happy to endorse the recommendations.
The recommendations were proposed and seconded, and it was
1. the actual 2020/21 prudential indicators within the report be approved; and
2. the Treasury Management stewardship report for 2020/21 at Appendix B and Appendix C of the report be noted.
Report of Councillor Phillip Cowen, Executive Member Finance, Revenues & Benefits andAlison Chubbock, Assistant Director of Finance & S151 Officer.
Councillor Cowen, the Executive Member for Finance, Revenue & Benefits presented the report.
He reminded Members of the recent Cabinet meeting where the Quarter 4 Financial Performance report was discussed where it was found that the Council remained in a favourably strong position for this year, and this Treasury Management report underscored all that.
Alison Chubbock, the Assistant Director of Finance & S151 Officer explained that the report was quite long and rather standardised and there were a few indicators within the report that did not apply to Breckland Council as it had no borrowing needs.
Attention was drawn to page 159 of the agenda pack where it stated that the Council had complied with all of its legislative and regulatory requirements. The report showed the Council’s capital spend and how it had been financed, highlighted on page 162 of the agenda pack. The spend against budget was significantly lower than expected and the majority of that underspend related to the following significant items.
· almost £3m related to two major power projects that were still on-going but had been delayed partly due to the pandemic and the lack of materials.
· a £2m variance on the waste vehicles and equipment assumed to be in place by 1 April but was delayed.
· the Worksmart 20:20 programme had also been delayed due to Covid but was almost completed as many Members had seen on the tours.
The investment balances were shown on page 163 of the agenda pack and although a great deal of money had been spent the investment balances had increased. This was an anomaly for this year due to the amount of Government grants received that the Council held for spend in future years. The Reserve balances had also increased as the cash balances that were held for the Government grants were held in Reserves.
The recommendations to Full Council were highlighted, and it was:
RESOLVED to Recommend to Full Council that:
1) the actual 2020/21 prudential indicators within this report be approved; and
2) the Treasury Management stewardship report for 2020/21 at Appendix B and Appendix C of the report be noted.