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Decision details

Mid-Year Review of the Treasury Management Strategy and MRP Policy Change Recommendations

Decision Maker: Executive Director, Resources

Decision status: Item Called In

Is Key decision?: Yes

Is subject to call in?: Yes

Purpose:

The report provides an update of the Council’s Treasury management activity in the first half of 2017/18 and sets out our latest expectations for the remainder of the year.

 

The report makes recommendations to amend the Council’s Minimum Revenue Policy (MRP) to better reflect a prudent provision for the repayment of the Council’s outstanding capital debt liabilities.

Decision:

That the Executive Director, Resources:-

 

(i) notes the report on treasury activity in the first half of 2017/18 and our current expectations for the second half of the financial year; and

 

(ii) approves the proposed changes to the 2017/18 Minimum Revenue Provision Policy in accordance with the recommendations made in the report.  

Reasons for the decision:

The two MRP changes could be taken as separate proposals. However, neither option on its own would generate the same level of re-profiled MRP charge.

 

It is noted that the a significant number of other Local Authorities (including most, if not all, of the Core Cities Authorities) have undertaken comparable reviews of their MRP policies in light of the austerity agenda over the last couple of years and have made similar policies changes in recent years.

 

The proposals reflect not only the local circumstances facing the Council but also the wider national picture whilst remaining prudent and retain an equitable balance between current and future tax payers.

 

The proposed policy changes have been agreed by our external auditors.

 

Alternative options considered:

There were no alternative options presented in the report.

Publication date: 09/01/2018

Date of decision: 09/01/2018

Issue status: The decision is currently being reconsidered

Accompanying Documents: