Decision Maker: Cabinet, Council
Decision status: Recommmend Forward to Council
Is Key decision?: No
Is subject to call in?: No
Purpose: to consider the report and make recommendations to Council
Cabinet considered the head of finance’s report on a capital strategy to cover the period 2022/23 to 2031/32. The report requested Cabinet to recommend Council to approve the capital strategy. The strategy provided a framework to the council’s approach to capital spending, based on the council’s corporate strategy, and was linked to the council’s corporate objectives, medium-term financial strategy, and management of projects and programmes.
The Cabinet member for finance reported that the key changes to the strategy broadened the areas where capital investment could be considered, including:
· property investments – to maximise the use and value of council owned assets to support council services, or for regeneration purposes to deliver a wider social or community benefit
· loans to companies and other organisations to support the delivery of the council’s corporate objectives
· renewable energy schemes to support delivery of the council’s climate action plan priorities
· flexible use of capital receipts to identify revenue activity which, under guidance issued by the Secretary of State, was eligible to be funded using capital receipts rather than revenue resources
The Cabinet member reported that in all cases investment would need to be within the council’s legal powers, be proportionate to the council’s financial standing, and support the council’s corporate objectives. Investment could not result in commercial gain.
Cabinet supported the strategy as it would allow the council greater investment opportunities to raise income.
RECOMMENDED to Council to:
approve the capital strategy 2022/23 to
2031/32, contained in the appendix to the head of finance’s
report to Cabinet on 3 February 2022; and
(b) agree the strategy for flexible use of capital receipts, which is contained as annex 1 of the capital strategy.
Report author: Richard Spraggett
Publication date: 22/02/2022
Date of decision: 03/02/2022
Decided at meeting: 03/02/2022 - Cabinet