Council investment interest set to increase by over 200%
Interest raised by Forest of Dean District Council’s investments is set to more than double for the financial year 2018/19.
Forest of Dean District Council has previously had a limited return on its reserves as it kept to a policy of lending to financial institutions such as banks and local authorities at a time of sustained low interest rates.
However, in February 2018 Cabinet made an informed decision to invest resources into pooled funds, resulting in a more diversified investment portfolio.
This has now started to pay off. In financial year 2017/18 interest earned was £158,000. Now, if predicted levels of return continue the financial year 2018/19 will see interest earned rocket to £360,000.
Cllr Richard Leppington, Cabinet Member for Asset Management said: “As the council suffers more cuts to our funding from central government we need to become more business-like in using our own resources.
“I’m really pleased to see that our new investments are already showing an improved return. We will continue to invest in this and other areas to make Forest of Dean District Council more financially independent.”
Notes for editors: Issued by: Communications Office, Forest of Dean District Council, 01594 812622, firstname.lastname@example.org