Decision details

The Cabinet will be presented with an update on the latest issues relating to the Council’s Investment and Acquisition Strategy and approach to borrowing and asked to approve any relevant proposals.

Cabinet resolved to:

(i)  Approve the updated Investment and Acquisition Strategy set out at Appendix 1 to the report;

(ii)  Note that the IAS and Borrowing Outturn 2019/20 showed a £0.6m underspend for 2019/20;

(iii)  Note the progress being made in meeting the IAS income target and the impact on the IAS of the delays to schemes being completed;

(iv)  Note the governance and controls in place to manage the IAS;

(v)  Note the increase in gross borrowing costs (£105m) and net borrowing costs (£319m);

(vi)  Note the potential for commercial loans and commercial income to support the investment strategy, especially over the short-term;

(vii)  Note the impact of leverage on the IAS and the proposals regarding life-cycle costs reporting and funding; and

(viii)  Agree that the loan to Robyna Ltd in respect of the North Street / London Road residential-led development be increased from £35m to £44m to take account of the increased units to be developed at the site, on the terms set out in Appendix 2 to the report.