Agenda item

Vivienne Littlechild asked a question of the Chairman of the Finance Committee regarding any assessment that had been made of the effect of the LIBOR scandal on the City Corporation’s investments and pension funds which were held with banks and other financial institutions.

In reply the Chairman reported that it was impossible to say whether the City Corporation’s finances were affected over the five years in question. He added that although there were financial instruments relating to borrowing that had a direct link to LIBOR, the City Corporation was not a borrower. He confirmed that none of the City Corporation’s money market activities were linked directly to LIBOR, activity was based on market rates that offered the best return so any exposure would be on the basis of an indirect link between LIBOR and interest rates. He concluded that there was not enough useful evidence on the impact or extent of how LIBOR was managed, for fund managers to make an assessment of consequential financial losses or gains. On the pension fund it was considered that any financial effect would be unquantifiable and, in case, it was unlikely to have been a negative impact.

In response to a supplementary question from Vivienne Littlechild, the Chairman confirmed that the Corporate Treasurer was in regular, if not daily, contact with the City Corporation’s treasury and investment advisors and although no formal guidance had been issued by them, the matter was likely to have been discussed.  

Revd. Dr Martin Dudley asked a question of the Chairman of the Culture, Heritage and Libraries Committee regarding the omission of the Health and Wellbeing Board from the Members’ Pocketbook.

In reply the Chairman apologised for the administrative error which caused the omission and reminded Members that the Town Clerk had sent a note providing them with the information that would have been included in the Pocketbook as soon as he became aware of the error. He took the opportunity to remind Members of the survey seeking their views on what should be in the Pocketbook, what could usefully be omitted and whether or not it had been superseded by electronic devices and stated that a report would then be submitted to his Committee with recommendations on its future.

In response to a supplementary question from Revd. Dr Martin Dudley the Chairman confirmed that he was pleased to learn that the Health and Wellbeing Board was the vehicle for City of London Corporation to meet its public health responsibilities to promote the health and wellbeing of everyone who lives or works in the square mile and that it was responsible for holding health and social care commissioners and others to account for their decisions, to ensure that local populations live longer and healthier lives.