Treasury Management is defined as:

“The management of the Local Authority’s investments and cash flows, its banking, money market and capital market transactions; the effective control of the risks associated with those activities; and the pursuit of optimum performance consistent with those risks. ”

Tamworth Borough Council currently has external debt of £20.4m mainly attributable to its Housing stock of around 4,540 properties.

Our investment portfolio as at 31 March 2011 totalled £13m (excluding our Icelandic investments still at risk) and averaged £19.1m in year and managing the portfolio will involved around 100 money market transactions during the year, all of which are managed ‘in house’.

In the 2010/11 financial year approximately £6.0m will be spent on Capital projects and approximately £6.3m has been allocated for Capital spending during 2011/12.

The Council has adopted the CIPFA code of practice for Treasury Management and seeks to identify, manage and control Treasury risk as a prime priority, the optimising of returns is seen as secondary but still important.