Issue - meetings

Report of Assistant Director of Finance (Section 151 Officer)

Purpose of Report

To update the Accounts, Audit and Risk Committee on the council’s position on Environmental, Social and Governance considerations in line with CIPFA recommendations.

Recommendations

The Accounts, Audit and Risk Committee resolves:

1.1     To note the contents of this Environmental, Social and Governance (ESG) considerations report.

Resolved

(1)            That the contents of this Environmental, Social and Governance (ESG) considerations report be noted.

The Assistant Director Finance (S151 Officer) submitted a report to update the Committee on the Council’s position on Environmental, Social and Governance (ESG) considerations in relation to its investments and line with CIPFA recommendations.

In introducing the report, the Portfolio Holder for Finance, Property and Regeneration explained that whilst the Council looked to invest sustainably, security, liquidity and yield remained the primary investment considerations as required by the Treasury Management Code and there was no requirement currently to audit organisation’s ESG.

In response to a question regarding the investments held by the council, the Head of Finance confirmed that the council only held funds in Article 8 (funds that promoted, among other characteristics, environmental or social characteristics, or a combination of those characteristics, provided that the companies in which the investments are made follow good governance practices) and Article 9  (funds that had sustainable investment as their objective) categories. There were no funds currently held in the Article 6 category (funds that do not integrate sustainability into the investment process).

Resolved

(1)            That the contents of the Environmental, Social and Governance (ESG) considerations report be noted.