A report by the Director of Resources advised that the Authority’s treasury management activity was underpinned by CIPFA’s Code of Practice on Treasury Management (“the Code”), which required the production of an annual Treasury Management Strategy Statement on likely financing and investment activity. The Code also recommended that Members were informed of treasury management activities at least twice a year.

The report fulfilled the Authority’s legal obligation under the Local Government Act 2003 to have regard to both the CIPFA Code and the Ministry of Housing, Communities and Local Government (MHCLG) Investment Guidance.

Whilst in past years Treasury Management had generated savings against budget the COVID situation had contributed to the current forecast being:

·  A projected overspend of £2.3 million on Treasury activities was presented at the midyear point, which was attributable to 2020/21 budget savings that were considered to be of a high risk of not being achieved due to implementation delays emanating from COVID response activity and significant changes in interest rates on investments.

In response to a Member’s comment, the Director agreed to supply further information in respect of where the consultation, ‘Future Lending Terms’ (paragraph 3.36 of  the report) was up to.

Resolved - That the Treasury Management Mid-Year Report for 2020/21 be noted.