8 Investment Strategy 
PDF 205 KB
Additional documents:
Minutes:
The Scrutiny and Overview Committee considered a report on a review of South Cambridgeshire District Council’s Investment Strategy in response to new borrowing rules for commercial investments introduced from 26 November 2020.
Following a brief introduction by the Lead Cabinet Member for Finance, the Head of Finance gave a short PowerPoint presentation to highlight the nature and importance of South Cambridgeshire District Council’s investments.
Committee members spent a considerable amount of time analysing the investment categories in the draft Strategy, and clarifying the new rules published by the Public Works Loans Board (PWLB). They noted that there were risks for this Council but also opportunities – for example, in borrowing money to promote the ‘Green to our core’ objective of the Business Plan within South Cambridgeshire.
Committee members noted that the new rules would not preclude the Council from borrowing money from the PWLB to maintain properties outside the District that had been bought, through Ermine Street Housing, prior to 26 November 2020.
Members noted the new Investment Team structure within the Council and its working relationship with external advisers and consultants. They were satisfied with the flexibility this provided to deal with future changes in direction.
Members had some reservations about the conversion of offices to residential.
Councillor Dr. Aidan Van de Weyer sought clarity as to investment returns under the revised Strategy. The Head of Finance undertook to provide him with this.
In conclusion, the Chair suggested that it might be possible to bring empty properties (including shared-ownership properties) back into use by agreement with their owners.
The Scrutiny and Overview Committee recommended that the Cabinet
1. considers the adoption of ‘principles of disclosure’ to guide investment decisions where such investment might be affected in future by the impact of climate change;
2. reviews the Investment Strategy, when necessary, at more frequent intervals than 12 months so that appropriate changes can be made as soon as possible.