11.01.18
Northamptonshire council finances to be investigated by DCLG
Communities and housing secretary Sajid Javid has confirmed he will be appointing an inspector to carry out an investigation into Northamptonshire CC because of fears it is not meeting its “best value duty.”
The council has been shrouded in controversy recently after one of its affiliated authorities, Daventry District Council, suggested the government should intervene in the county to ensure it can deliver savings and avoid insolvency.
In a statement this week, Javid announced that he had asked former Hackney LBC CEO Max Caller to carry out an inspection of Northamptonshire’s compliance with its best value duty.
The secretary said he had become concerned after reports from the LGA and private auditor KPMG suggested the council may be “failing to comply” with its responsibilities.
Javid went on to say: “This decision is not taken lightly. I hope it sends a strong signal that robust processes are in place to investigate allegations of failures in financial management and governance in local government.”
In particular, he said the initial investigations would revolve around Northamptonshire’s corporate governance and financial management systems, with findings expected to be reported by 16 March this year unless other circumstances are agreed.
Leader of the council, Cllr Heather Smith, said she welcomed the announcement of review.
“We have been very clear with senior government ministers and civil servants about the issues facing the county and the growing financial pressures we are facing,” she said. “This announcement means they will be coming to the county to assess the situation for themselves and be able to see how we have continued to deliver public services in an ever-challenging financial context.
“We have been fully open and transparent with the government about our situation and have been direct in our request for assistance.
“We have also been clear that our proposed funding settlement from them includes no recognition of the pressures we face with the escalating cost of, and demand for, adult social care and children’s services respectively.”
Javid added, that if the council is in breach of its duty then the government will exercise its powers to intervene in the county.
Top image: yevtony
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