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Summary
Here is a briefing on the upcoming Babergh District Council meeting. The meeting will focus on the annual treasury management report and proposals for local government reorganisation in Suffolk. Other items on the agenda include announcements from the chair and leader, questions from the public and councillors, and councillor appointments.
Local Government Reorganisation in Suffolk
The council will be considering its response to the government's invitation to submit final proposals for local government reorganisation (LGR) in Suffolk, as part of the English Devolution White Paper. The report pack includes the council's 'Case for Change', developed with the other district and borough councils in Suffolk.
The report pack says that the government has asked councils in two-tier areas within the Devolution Priority Programme to submit a 'Case for Change'. The report pack also says that the draft Case for Change proposes a three unitary model as the preferred option. According to the report pack, the council is being asked to approve the submission of the draft Case for Change, as well as a draft Unmodified Submission to the Secretary of State. The report pack indicates that the Chief Executive, in consultation with Councillor John Ward, Leader of Babergh District Council and Cabinet Member for Finance, may be delegated authority to make minor changes to the Case for Change and contribute to any joint covering letters.
The report pack states that the rationale behind the reorganisation is to deliver efficiency savings, service transformation, reduce workforce pressures and increase local accountability. The report pack mentions that the council appointed KPMG1 to help develop options for LGR in Suffolk. The report pack says that the council's motion from July 2025 stated that it:
Continues to work in partnership with other district and borough councils in Suffolk to develop a preferred proposal for three new, locally-focused, sustainable unitary councils for Suffolk…
The report pack says that the appendices to the Case for Change include technical detail and modelling to demonstrate how the district and borough councils' proposal presents the best way forward. The report pack also says that the councils' draft unmodified submission is included as a separate document to the Case for Change, because the preferred solution would require a modification to the district boundaries.
Annual Treasury Management Report 2024/25
The council will be asked to note the Annual Treasury Management Report for 2024/25. The report provides a comprehensive assessment of treasury management activities for the financial year, as required by the Chartered Institute of Public Finance and Accountancy (CIPFA) Code of Practice on Treasury Management. The report sets out the performance of the treasury management function, the effects of decisions taken, and any instances of non-compliance with the treasury management policy.
The report pack says that the Joint Audit and Standards Committee considered the Treasury Management Outturn 2024/25 at its meeting on 18 August 2025. The report pack indicates that the report includes performance on Prudential Indicators2 set in the 2024/25 Treasury Management Strategy. The report pack states that the council is being asked to note the treasury management activity for the year 2024/25, that the activity was in accordance with the Prudential Indicators for 2024/25, and that the council complied with the approved Treasury Management Strategy for 2024/25, with one exception regarding Investment Limits.
The report pack says that the Treasury Management Indicators aim to ensure that capital investments of local authorities are affordable, prudent and sustainable, and that decisions are taken in accordance with good professional practice.
The report pack also says that both Babergh District Council and Mid Suffolk District Council have joined Arlingclose's Environmental Social and Governance (ESG) and Responsible Investment Service, which will provide advice for ESG integration in the Councils' investment portfolios and is discussed within the Councils' Joint Treasury Management Strategy.
The report pack lists a number of risks, including that:
The income projections for the Councils investment in the Capital Investment Fund (CIFCO) may not be met
The report pack also lists a number of background documents, including the Joint Capital, Investment and Treasury Management Strategies 2024/25, the Half Year Report on Treasury Management 2024/25, and the Strategic Pooled Funds Report prepared for the Joint Audit and Standards Committee.
Councillor Appointments
The council will be asked to agree to councillor appointments.
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KPMG is a multinational professional services firm, and one of the 'big four' accountancy organisations. ↩
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Prudential Indicators are a range of measurements that local authorities are required to set and monitor to ensure that their capital investment plans are affordable, prudent and sustainable. ↩
Attendees
Topics
No topics have been identified for this meeting yet.