Cash & Investment Management

Cash and Investment Management

Covers Loan financing, cash and investment management, endowments, gift aid claims, annual prizes and petty cash.

Petty Cash and Floats

The Fees Payments Office is responsible for the administration of departmental petty cash, including requests for petty cash floats and cash advances.

There are 2 main types of cash floats for non-trading:

Departmental Petty Cash Floats Used within a department to support minor day to day expenses. Departments should use a contracted supplier or smarter purchasing as a first instance. Any expenditure over £15 should be sent through as an expenses claim to Accounts Payable. Departments are allocated a float amount based on their business needs. A person within the department is responsible for the safe keeping of the float. Individuals within the department who have paid out expenditure should seek a reimbursement from the Departmental Petty Cash Keeper. This should be authorised within the department. The petty cash keeper should retain the receipts of the expenditure. At any given point the total of the cash held plus the total of expenditure receipts should total the float amount.
Finance Reimbursement Float Departmental Petty Cash floats require the cash reimbursing when expenditure has been paid out. Departments will submit their float account book with copies of any expenditure to fees payments. Fees payments will confirm the expenditure is in line with Financial regulations and reimburse the departmental cash float.

Departments looking to increase, or request a new departmental petty cash float should email the Head of income Collection. The request must be authorised by the Head of Department (Or their delegated Authority). The amounts and reasons of the request should be provided along with details as to why standard processes are not fit for this purpose. A petty cash float should not be more than £250 and must not exceed the last 3 months’ worth of expenditure. Requests for amounts greater than £250 should be authorised by one of the Finance Senior Management Team

Cash and Loan Management

  • Monitoring of the University’s short and long term cash flow requirements
  • Preparation of the annual cash flow forecast
  • Monitoring of actual monthly cash balances against forecast
  • Loan Covenant Compliance
  • Loan repayment and Revolving Credit Facility management
  • Investment counterparty limit monitoring
  • Treasury Management Policy

We have an in-house treasury management team which is responsible for managing our University’s short and long term cash flow requirements. These are all managed in line with our treasury management policy. We have determined a minimum operational cash holding, and where applicable amounts in excess of this are invested in line with agreed counterparty limits to spread our exposure to one banking institution for appropriate periods of time to generate interest income.
Each month as part of the monthly reporting process actual cash balances are compared against forecast, and detailed bank reconciliations for all accounts are completed as a key control over our cash balances.

All new borrowing and financing arrangements require approval of Council before they are contracted. We are required to comply with a number of financial and information covenants in respect of our current borrowing, these are reported on an annual basis to our banking providers, but latest forecast data is reviewed on a monthly basis to confirm year end compliance throughout the year.

Using our expertise we are also able to assist with cash forecasting for future projects and opportunities and can provide scenario analysis and information on the implications of future plans on the wider university, including covenant compliance and cash availability.

Donations and Endowed Funds

These are special accounts set up to record endowed donations to the University. Endowments are donations where the money is donated for a specific purpose and where the donation is intended to fund the purpose over a number of years, either through use of the interest generated by the donation, or through use of the original donation over time.

Endowments are used to fund many different things, including annual prizes. The actual payment of the annual prizes is administered by the Treasury Section on receipt of the official Departmental minutes. Departments wishing to amend the prize awarded, should contact the Treasury Accountant who will be able to advise whether the amendment is still in line with the donor’s original wishes and whether sufficient funds are available for the amendment to be made.

All donors to the University should be directed through the Development and Alumni Relations Office (DARO) so as to ensure that appropriate legal documentation is put in place and the donor’s wishes are captured in full regarding the use of their donation.

It is also possible for a donor to permit the University to claim gift aid on their donation. Gift Aid is a scheme by which an individual tax payer can donate a sum of money to a charity (in this instance, the University), and the charity can then recover, from the Inland Revenue, the basic rate tax on the gift. HMRC provide additional Guidance on Gift Aid from the perspective of the donor and the University.

DARO will be able to advise on eligibility for gift aid, depending on the circumstances of the individual donor.

Our endowed funds are invested within a pooled investment vehicle which is managed by a third party investment manager.

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