Decision details

A presentation was made to the committee by George Graham, deputy county treasurer on a review of the county council's treasury management activities during the current financial year to the end of August and included:

-  A review of the economic conditions during 2012/13

-  An assessment of the appropriateness of treasury strategy to the current and predicted economic environment

-  Borrowing to finance capital expenditure

-  Investment of cash balances

-  Comparison of current borrowing levels with 2012/13 prudential indicators.

Details of the treasury management activities were presented at appendix A.

In response to concerns raised by the members in respect of the council's current borrowing policy, the deputy county treasurer advised that the views of the council's consultants had been taken on board and that over time, the council would be reducing its exposure to short term debt.  However, for the time being, the current policy of keeping a higher proportion of borrowing at variable rates or short dated maturities was enabling the council to take advantage of the very low rates available on short term borrowing.

Resolved: That the update on treasury management activities as shown at appendix A to the report now presented, be noted.