Dumfries and Galloway Council will consider its Treasury Management Strategy Statement for 2026/27 at its Full Council meeting on Thursday 26 March 2026.
The proposed strategy sets out a range of prudential indicators and an updated annual investment plan designed to safeguard public funds and ensure sound financial management.
It includes updated limits on how much the council can borrow or invest, with a commitment to monitor these activities closely throughout the year.
Under national guidelines, councils must update their treasury strategy annually to show that any borrowing is affordable, prudent and sustainable.
Dumfries and Galloway’s strategy for 2026/27 has been developed in line with these requirements. It provides assurance that the council’s capital investment plans are financially sound and within approved limits.
In practice, this means the council will only undertake borrowing it can afford to repay. Any surplus cash will be invested in line with strict criteria to protect public funds.
Major capital projects are driving an increase in the council’s borrowing needs over the next few years. These include the construction of a new Dumfries High School, significant road improvements, the development of Dumfries Zero Waste Park as well as the recently agreed Stranraer Marina and Whitesands Flood Protection Scheme.
Importantly, the council has already set aside budget funds to cover the costs of this planned borrowing. In February, councillors agreed additional contributions to the loan charges budget for 2026/27 and 2027/28 to help meet future repayments.
The Treasury Management Strategy will be kept under review throughout the year and can be adjusted if economic conditions or council priorities change.
Councillor Katie Hagmann, Convener of Dumfries and Galloway Council, said:
“As a council, we have a responsibility to manage every pound prudently and in line with national guidance. This strategy shows that we are planning ahead and making responsible choices for 2026/27.
“By setting clear borrowing limits and monitoring our investments closely, we’re ensuring that our communities’ money is safe and being put to work where it’s needed.
“It’s about being open and accountable with how we manage our finances, and making sure Dumfries and Galloway remains on a stable footing for the future.”
Members of the public can view the full Treasury Management Strategy report (agenda item 6) on the council’s website as part of the meeting papers for Thursday 26 March 2026: Agenda for Dumfries and Galloway Council on Thursday, 26th March, 2026, 10.30 am | Dumfries and Galloway Council