Issue - meetings

The Council are requested to consider the report and its appendix as set out on pages 9-75 of the Cabinet agenda for 1 March 2022.

At the time of going to print the recommendations to Cabinet to recommend to Council were as follows:

1.    That the Treasury Management Policy Statement, the Treasury Management Strategy Statement, the Investment Strategy and relevant Indicators for 2022/23 be approved.

2.    That the Council’s Capital Strategy for 2022/23 to 2026/27 be approved.

Cllr Wilding moved the recommendations which were seconded by Cllr Lintill.

Cllr Wilding then introduced the item.

Cllr O’Kelly asked whether the council has any investments linked to Russia or effected by Russia. Mr Ward clarified that the council’s fuel is purchased through Kent County Council. Mr Catlow explained that the council’s investment are not linked to Russia.

RESOLVED

1.    That the Treasury Management Policy Statement, the Treasury Management Strategy Statement, the Investment Strategy and relevant Indicators for 2022/23 be approved.

2.    That the Council’s Capital Strategy for 2022/23 to 2026/27 be approved.

The Cabinet is requested to consider the report and its appendices and make the following recommendations to Full Council:

1.    That Cabinet considers the Treasury Management Policy Statement, the Treasury Management Strategy Statement, the Investment Strategy and relevant Indicators for 2022/23.

2.    That Cabinet considers the Council’s Capital Strategy for 2022/23 to 2026/27.

3.    That the documents in 2.1 and 2.2 are recommended to Council for approval.

*RECOMMENDED TO COUNCIL

1.    That the Treasury Management Policy Statement, the Treasury Management Strategy Statement, the Investment Strategy and relevant Indicators for 2022/23 be approved.

2.    That the Council’s Capital Strategy for 2022/23 to 2026/27 be approved.

Cllr Wilding introduced the item.

Cllr Taylor with reference to page 21, table 2 requested clarification of why the balance sheet lists no CIL figure for 2025 and 2026. Mr Catlow explained that although CIL is anticipated the table refers to what is known to be spent.

Cllr Dignum asked what impact the increase in interest rates is having on the capital value of the council’s bonds. Mr Catlow explained there is a difference between short term and long term bonds. He outlined a u-shaped curve in the value of bonds which he saw beginning to stabilise. Cllr Dignum followed up by asking the cost implication if the council were to sell assets at a loss. Mr Catlow explained that at present it would be deferred on a statutory override until 2023 with the first year charged to revenue.

Cllr Sutton requested information on whether the situation in Russia affects the council’s Strategy. Mr Catlow explained that the council’s external pool fund investments are not directly linked to Russia however there are indirect risks due to the impact on companies such as BP and on the overall impact on the UK stock market and the impact that has on shares.

In a vote the following recommendations were made:

RECOMMENDED TO COUNCIL

1.    That the Treasury Management Policy Statement, the Treasury Management Strategy Statement, the Investment Strategy and relevant Indicators for 2022/23 be approved.

2.    That the Council’s Capital Strategy for 2022/23 to 2026/27 be approved.