The Resources and Performance Select Committee met on Friday 26 June 2026 to discuss the Q3 and Q4 performance assurance report and the transition of critical IT systems. Key concerns were raised regarding recruitment and retention in specialist areas, the timeliness of complaint responses, and the safe and legal transition of IT systems ahead of local government reorganisation. The committee also reviewed the council's workforce equality, diversity, inclusion, and accessibility update.

Q3 and Q4 Performance Assurance Report

The committee reviewed the Q3 and Q4 performance assurance report for the 2025/26 financial year. Councillor Hazel Watson raised concerns about ongoing risks relating to recruitment and retention in key roles, particularly in specialist areas such as legal services. Sheila Smith, Director of People and Change, reported that while overall turnover was at its lowest level (8.8%), emerging risks were present in senior leadership roles and specialist areas like children's services (SEND and social workers), legal, IT, digital, and adult social care. Targeted attraction campaigns, internal progression opportunities, and the use of Connect to Surrey for agency staff were being employed to manage these risks. Councillor David Lewis highlighted the national issue of SEND pressures and the need for more nationally trained teachers in this area. Asmat Usain, Director of Law and Governance, confirmed significant challenges in recruiting and retaining legal staff, competing with London salaries and private firms.

The committee also discussed a decline in corporate stage one and stage two complaint response times, which had fallen to 46% and 65% respectively in Q4. Liz Mills, Director of Customer, Culture and Transformation, explained that this was predominantly driven by education responses within the Children, Family and Lifelong Learning Directorate, due to sustained demand around SEND services and Education, Health and Care Plan needs assessments. While other departments like Place and Resources performed better, the committee expressed concern about the low figures and requested a follow-up update.

Councillor Bob Hughes questioned the timeliness of subject access requests (SARs), with only 66% completed within statutory timescales. Asmat Usain confirmed that an action plan had been submitted to the Information Commissioner's Office (ICO) and that the council was awaiting their response. He highlighted the complexity of SARs, particularly those involving care experience, which could take over 600 hours of officer time. The committee requested a confidential copy of the action plan for review.

Councillor Nick Darby raised concerns about the time taken to answer calls, with Liz Mills explaining that a dip in Q4 performance was due to temporary capacity pressures and seasonal demands. Recruitment to vacant posts and cross-training initiatives were expected to improve performance.

Councillor Lesley Steeds questioned resident satisfaction with the council's actions on concerns, noting a slight decrease. Liz Mills stated that the quarterly change was not statistically significant and that the figure was higher than in the previous two years, indicating an upward trajectory. However, she agreed to provide more detail on specific areas of resident dissatisfaction.

Councillor Hazel Watson inquired about health and safety training uptake, which remained below target. Sheila Smith explained that the KPI target had been adjusted from 100% to 90% to account for legitimate reasons for non-completion, such as long-term absence or maternity leave. Progress was improving, with an optimistic outlook for achieving the 90% target in the next quarter.

Transition of Critical IT Systems

The committee received an update on the transition of critical IT systems ahead of local government reorganisation. Liz Mills, Director of Customer, Culture and Transformation, outlined a three-phase approach: discovery (completed), detailed planning (ongoing until September), and implementation and assurance (from September). Approximately 1,000 systems are being categorised into three tranches based on complexity and criticality. The guiding principle is minimum viable change to ensure safe and legal operations on Vesting Day.

Councillor Bob Hughes expressed concerns about the definition of safe and legal and sought reassurance that progress was being made. Liz Mills acknowledged the complexity and finite timeframe, emphasizing the importance of collaboration and learning from other authorities like Cumbria. Key risks identified included finite time, resource capacity, and the need for robust programme management.

Councillor Hazel Watson sought clarity on key risks and timely completion, to which Liz Mills responded that a tranche-based approach and robust governance were in place, with resourcing flexed as needed. Councillor Lance Spencer questioned whether any unexpected systems had been discovered and expressed concerns about retaining subject matter experts. Jo Blount, Assistant Director of IT&D, confirmed no surprises but noted the large number of systems, including social media pages, were being catalogued.

The committee engaged in a detailed discussion about the definition of safe and legal and the criteria used to assess IT systems. While specific criteria lists were not available due to ongoing development, examples included appropriate access to systems and buildings, secure data storage, and access to legacy data. Councillor Catherine Powell raised concerns about the transition of children's and adults' services systems, particularly regarding data access and interoperability, and the potential impact on vulnerable groups. Liz Mills assured the committee that a joint working team was addressing these issues and that IT&D was enabling, not dictating, service requirements.

Councillor Nick Darby questioned the confidence in identifying and prioritising critical systems and the ability to reclassify systems. Jo Blount expressed confidence in the collaborative process used, including system catalogues, service validation, and contract data review. She confirmed that the system allows for change control and revisiting decisions as needed.

Councillor David Harmer expressed concern about making the same mistakes as in previous IT system reviews and questioned the committee's function in this area.

Councillor Catherine Powell raised concerns about the impact of transition activities on business as usual, particularly regarding unfinished portal projects for SEND, fostering, and schools. Liz Mills clarified that IT&D delivery was on track, but that service directorates determined their work plans. Andy Lynch, Reform UK Group Leader, acknowledged that some portal work was underway but not all, citing external IT system provider capacity and CFLL service remit changes as reasons for delays.

The committee discussed the minimum viable change approach and the risks being deferred to new authorities. Liz Mills stated that top-level program risks were available in new council executive papers, but detailed theme-level information could not be shared at this stage due to programme governance. Councillor Spencer raised concerns about the risks associated with Surrey County Council deciding not to make certain changes to its systems due to transition, and whether these risks were being documented. Liz Mills clarified that BAU work was not being delayed and that changes were only being made if essential for statutory duties, transformation programmes, or the medium-term financial strategy.

The committee also discussed the transition of pension systems, with Councillor Edward Hawkins and Andy Lynch highlighting the critical importance of accurate and secure handover of individual contribution records. Liz Mills confirmed that pension systems themselves would not change, but connectivity with payroll and ERP arrangements was in scope. Andy Lynch added that there were dual roles for the county as administering authority and the need for a separate project for the single pension authority transfer.

Councillor Bob Hughes inquired about assurances for critical data accessibility, control, and protection on Vesting Day. Liz Mills confirmed a dedicated workstream for data, building on existing data programmes, and that the objective was safe transfer and accessibility from day one. Griselda Pinaya, Head of Information, added that compliance around security, access, and sharing was being maintained. Councillor Hughes raised concerns about GDPR compliance with shared arrangements, particularly for children's data. Liz Mills acknowledged that disaggregating data for day one had not been found feasible by other authorities, and controls were being put in place, with further work to be done.

The committee discussed the critical path for Tranche 1 systems and the realism of the programme timetable. Liz Mills expressed confidence due to built-in iterative processes and robust governance. Councillor Edward Hawkins voiced cynicism, feeling that assurances were lacking.

The committee made several recommendations, including a written update on BAU IT&D improvements in CFLL, the production of a day-one risk register for deferred risks, a critical path for Tranche 1 systems, and a follow-up session on IT system transition progress.

Workforce Equality, Diversity, Inclusion and Accessibility Update

The committee noted the update on the council's workforce EDI programme. Councillor Bob Hughes praised the report, highlighting achievements in making the workforce more inclusive and welcoming. The report detailed progress on the EDI Action Plan for 2025/26, including reviews of staff networks, improvements in workforce EDI data, enhanced EDI training, the expansion of Wellbeing Champions to include inclusion, the commissioning of a new Workplace Adjustments service, and improvements to the onboarding experience for overseas recruits. The reverse mentoring programme was also highlighted, with positive impacts on senior leaders' inclusive attitudes.

However, the report noted that improvements were needed in increasing the percentage of staff under 30 and ethnic minority employees. Career development initiatives and revised recruitment practices, including prioritising internal moves, were being implemented to address this.

The report also detailed progress on accessibility across the council's estate, with adaptations made at Woodhatch Place and the successful delivery of a fire-safe lift project at Victoria Gate. The SCC Accessibility Forum was highlighted as a key group for strategic oversight and challenge.

The report noted positive impacts on recruitment and retention, with improvements in children's social care recruitment and overall voluntary turnover reduction. Sickness absence rates were also favourable compared to national averages.

Forward Work Programme and Recommendations Tracker

The committee reviewed and noted the Forward Work Programme and Recommendations Tracker. A follow-up session on IT system transition preparations was agreed for a future date, potentially October or December, to include chairs of the CFLL and Adults Health Select Committees.

Members' Questions

Councillor Catherine Powell's question regarding the discrepancy in fuel mileage rates for SCC employees compared to HMRC and NHS rates was addressed. A written response indicated that the decision to increase rates was subject to governance and finance processes and would be presented to the People, Performance and Development Committee on 10 July, with an expectation of adopting new rates in line with current policy. Councillor Powell sought clarification on backdating and communication to staff, with a written reply promised.