To report on the Treasury Management performance for 2014/15.

The Head of Financial Services submitted a report (previously circulated, now appended) which detailed the Council’s treasury management activity and performance for 2014-2015 and recommended some changes to the Treasury Management Strategy for 2015-16.

Councillor Turner, Board Member for Finance, Corporate Asset Management and Public Health presented the report.

In discussion of this agenda item the Board also considered the report of the Scrutiny Finance Panel on Municipal Bonds (agenda item 5c refers) and the City Executive Board responses to the Scrutiny recommendations.

The Board welcomed the establishment of the Municipal Bonds Agency (MBA) as an alternative source of financing, whilst noting that the City Council was unlikely to need to use its services in the immediate future. The Section 151 Officer said that he and the Council’s financial advisers had some reservations about the detail and robustness of the MBA service offering and preferential investment rates.  The Board Member said that he would bring an update report to the City Executive Board once these points had been clarified.  The Board noted that the final decision on any potential future investment would be a matter for the Section 151 Officer in consultation with the Portfolio Holder.

The City Executive Board resolved to:

1.         Note the Treasury Management Annual Report; and

2.         Recommend Council to resolve to approve the Revised MRP Policy as set out in Appendix 1 and approve the amendment to the Non-Specified Investments list attached at Appendix 2 of the report.