Purpose

Latest 2023/24 capital spend
forecasts identify a prudential long term borrowing requirement of
£483m.
This report will ask Cabinet to
approve that likely prudential long term borrowing
The report also updates Cabinet
on the year end 2022/23 and first quarter 2023/24 Treasury
position. 
 

Decision

Decision:
 
For the reasons set out in
the report and its appendices Cabinet RESOLVED to Agree:

 

i) 
To delegate authority to the Corporate Director of Resources to
enter into new long-term borrowing of up to £250m in the
period up to the end of July 2024 to fund the estimated requirement
for the capital programme in 2023/24 on the terms set out at
section 4 of this report.

ii) 
To note that the mid-year Treasury report, set out at Appendix 3,
will be presented to Audit Committee on the 2 November 2023 and
reported to full Council at its meeting of 11 December 2023.
 
Alternatives
Considered
 

a)    Not to agree a long term borrowing
mandate will mean reliance on temporary borrowing to finance the
approved capital programme

 
b)  By
placing too much reliance on temporary borrowing exposes the
Council to market interest rate and liquidity volatility when there
is no PWLB back stop available for temporary borrowing. 
 
c)  It
also imposes pressure on staff resources having to turnover large
volumes of temporary debt.