Open Council Network - Hinckley and Bosworth

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Weekly updates

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Financial Accountability and Governance: Key Takeaways from This Week's Audit Committee Meeting

This week, the Hinckley and Bosworth Council held one meeting: the Audit Committee on Wednesday, May 29, 2024. This meeting was significant, focusing on financial accountability and internal controls.

Audit Committee Overview

The Audit Committee's session was crucial, addressing several key financial and governance issues. Here’s a breakdown of the major discussions and their implications:

1. Unaudited Statement of Accounts 2021-2023

The council reviewed the unaudited statement of accounts for the financial years 2021-2022 and 2022-2023. These accounts have not been signed off due to capacity issues within the external auditors across England. The council is awaiting guidance from central government on the wording for a special type of opinion to be issued.

Although they're waiting for the wording, what, to give an assurance, what they do need is a value for money assessment, noted during the meeting.

The council's internal auditors confirmed no fundamental issues with internal control systems, providing some reassurance despite the delays.

2. Section 106 Planning Obligations

The committee reviewed an internal audit report on Section 106 planning obligations, which are agreements made between local authorities and developers to mitigate the impact of new developments. The report received a moderate assurance opinion, with two medium and two low priority recommendations to tighten controls and ensure compliance.

This section 106 planning obligations report is the last report from the 2022-2023 internal audit plan to be issued, stated Sarah Knowles from Maseras, the internal auditors.

The council acknowledged the importance of these recommendations and committed to implementing them to improve oversight and accountability.

3. Internal Audit Annual Report 2022-2023

The committee received the internal audit annual report, which summarized the work done over the past year. The overall assurance opinion was moderate, indicating that while there are areas for improvement, the council's internal controls are generally effective.

Every audit in the plan received a moderate assurance level for this particular year, highlighted in the report.

This moderate assurance is a positive indicator, reflecting the council's ongoing efforts to maintain robust financial controls and governance practices.

Implications and Themes

The discussions this week underscore a recurring theme of financial accountability and governance. The delay in the audited accounts highlights the broader issue of capacity constraints within external audit firms, a challenge faced by many councils across England. The council's proactive approach to addressing internal audit recommendations, particularly regarding Section 106 obligations, demonstrates a commitment to continuous improvement and transparency.

The internal audit annual report's moderate assurance rating is a testament to the council's effective internal controls, though it also indicates areas where further enhancements can be made. This aligns with the broader theme of proactive governance and continuous improvement, which we have observed in previous council activities.

As always, we will continue to monitor these developments and their impacts on the community.

New Complaints Policy and Social Housing Regulations: Key Changes from This Week's Council Meetings

This week, the Hinckley and Bosworth Council held two meetings: the Ethical Governance and Personnel Committee on Monday, May 20, 2024 and the Executive meeting on Wednesday, May 22, 2024. The most impactful discussions took place in the Ethical Governance and Personnel Committee meeting.

Ethical Governance and Personnel Committee Overview

The main focus of this meeting was the new complaints policy, driven by recent changes from the Housing Ombudsman and the Local Government and Social Care Ombudsman. These changes are significant for several reasons:

1. New Complaints Policy

The council approved a new complaints policy to comply with the Housing Ombudsman code, which is already in effect, and the Local Government and Social Care Ombudsman code, which will be mandatory by April 1, 2025. Key changes include:

Timelines: Stricter deadlines for acknowledging and responding to complaints.
Annual Report Content: Enhanced detail and transparency in reporting.
Feedback to Ombudsman: More comprehensive information to be provided.

The council must appoint a member responsible for complaints, recommended to be the executive member for corporate services. This move aims to streamline the complaints process and ensure accountability.

The policy was moved by Councillor Bray and seconded by Councillor Crook, and it was approved, as noted in the meeting.

2. Membership Changes

The committee saw changes in its membership, with Councillor O'Shea stepping down and Councillor Green joining. Additionally, several councillors substituted for others, ensuring continuity in representation and decision-making.

3. Procedural Matters

The meeting also involved approving the minutes of the previous meeting, with a minor correction. There were no declarations of interest or urgent business, and the session concluded with a procedural motion to enter a private session under section 100A4 of the Local Government Act 1972.

Executive Meeting Overview

The Executive meeting was brief but focused on crucial aspects of the Social Housing Regulation Act 2023.

1. Social Housing Regulation Act 2023

The council discussed and approved measures to comply with the new regulations, which include:

Tenant Satisfaction Measures: These measures, which also cover landlord performance, must be published and communicated to tenants by June 30th.
Legislative Compliance: The council's progress in meeting new legislative requirements was noted and approved.

The recommendations related to the Social Housing Regulation Act were moved by Mark and seconded by Martin, and were unanimously approved, as recorded in the meeting.

2. IT System Investment

A significant concern was raised about the need for capital investment in IT systems to meet the new regulatory requirements. The current housing management system is inadequate, necessitating workarounds that are not sustainable long-term.

Implications and Themes

The discussions this week highlight a recurring theme of regulatory compliance and tenant-centric governance, which we've discussed before. The new complaints policy and the measures under the Social Housing Regulation Act 2023 both aim to enhance transparency, accountability, and tenant satisfaction. These changes will likely require significant adjustments in council operations and resource allocation, particularly in IT infrastructure.

As always, we will continue to monitor these developments and their impacts on the community.

Key Decisions and Community Focus: Insights from This Week's Hinckley and Bosworth Council Meetings

This week, the Hinckley and Bosworth Council convened for two key meetings, with the most impactful being the Scrutiny Commission on Thursday, May 9, 2024. The Planning Committee also met on Tuesday, May 7, 2024, but details from that meeting are pending.

Scrutiny Commission Overview

The Scrutiny Commission's session was pivotal, focusing on community and housing initiatives. Here’s a breakdown of the major decisions and their implications:

1. Parish and Hinckley Community Initiative Fund Grants

The council approved £91,892 in funding for 13 applications. This decision underscores the council's commitment to bolstering community projects. The funding is expected to enhance local facilities and services significantly, contributing to community development and cohesion.

2. Environmental Improvement Programs 2024/25

The council reviewed schemes for the upcoming financial year aimed at improving heritage and conservation areas. These projects are anticipated to boost local aesthetics and promote historical preservation, fostering a sense of pride and historical awareness within the community.

3. New Regulatory Arrangements for Social Housing

In light of the Social Housing Regulation Act 2023, the council discussed new regulatory frameworks. This act mandates enhanced safety and quality standards in social housing, necessitating significant operational adjustments by the council. The discussion highlighted concerns about implementation challenges, particularly regarding costs and tenant engagement. The council emphasized the importance of tenant involvement, marking a shift towards more tenant-centric governance in housing matters.

There was a notable emphasis on tenant involvement and the proactive approach to housing complaints, noted during the meeting.

This week's discussions reflect a broader theme of community enhancement and proactive governance, which we will continue to monitor in future council activities.