The Audit and Standards Committee of Staffordshire Council met on Tuesday 09 December 2025 to review the Health and Safety and Wellbeing Annual Performance Report for 2024-25 and receive an update on the Internal Audit Plan for 2025-26. The committee also discussed proposed additions to the scheme of delegation regarding confidentiality agreements and the appointment of board members for Nexus Care Latko.

Health and Safety and Wellbeing Annual Performance Report 2024-25

Becky Lee, Director of Finance and Resources, presented the Health and Safety and Wellbeing Annual Performance Report for 2024-25. The report highlighted several key successes, including the provision of extensive support to household waste recycling centres and children's residential services, and the launch of a new healthcare cash plan through the Vivout platform, offering employees access to dental care, 24/7 GP consultations, and private prescription delivery. The council also revised its asbestos management guidance, strengthening it based on learnings from the Health and Safety Executive's inspections. A new digitalised risk assessment module was launched, and a working group was established to manage occupational road risks.

The report detailed a significant enhancement of the council's well-being offer, with the Vivout platform remaining popular, boasting 3,461 registered employees and active use by 1,173 individuals per quarter. Financial well-being products were also well-received, with 1,720 employees accessing the Money Insights platform and 2,569 salary advances being taken out. A pilot scheme called Safe and Well in health and care, aimed at reducing short-term absence through early referrals, resulted in a 16% reduction in overall absence and a 46% reduction in psychological absence, leading to a saving of £181,000. This pilot is now being extended across the organisation.

However, overall absence within the council workforce increased to 11.83 days per employee by March 2025, with psychological absence and musculoskeletal conditions remaining the highest categories of absence. The report noted a decrease in accidents at maintained schools, but an increase in violent incidents, particularly within children's residential services due to challenging behaviour. A notable incident occurred at a household waste recycling centre where a member of the public placed asbestos, leading to a staff member's exposure. While the Health and Safety Executive issued a notice of contravention and a fee for intervention, they acknowledged the council's training and procedures, resulting in a minimal fine of £4,180.

Looking ahead to 2025-26, key actions include improving digital health and safety solutions, revising terrorism guidance, embedding changes in asbestos management, and extending the Safe and Well project. The report also mentioned the upcoming implementation of Martin's Law (the Terrorism Protection Premises Act 2025), which will require enhanced security arrangements over the next 24 months.

Councillor Honfrey raised concerns about the significant increase in violence and aggression at schools, particularly at one special school setting that was over capacity. While additional mobile classrooms and an expansion project are underway, Councillor Honfrey expressed a desire to see these figures decrease within the next year. Councillor Cliszy inquired about the impact of the Safe and Well pilot on long-term absence and whether employment policies had been adjusted. It was clarified that the council's long-term occupational health trigger is 15 days, and the pilot aims to identify underlying reasons for absence early on. Councillor Pert commented on the report's timing, suggesting it could be presented earlier, and requested more context on workforce demographics to better understand the varying impact of strategies across different directorates. He specifically questioned the drivers behind increased absence in directorates other than health and care, and the success factors of the Safe and Well pilot in that sector. Becky Lee explained that the pilot's success in health and care was due to focused management briefings and the ability to address underlying reasons for absence. She attributed increased absence in other directorates, particularly Children and Families, to workload pressures and management instability. A new pilot, Together in Practice, is being launched in January to provide psychological support and resilience training for these teams.

Internal Audit Plan 2025-26 - Progress Update

The committee received a progress report on the 2025-26 Internal Audit Plan. The report detailed progress on audits of key financial systems, including budgetary control, procure-to-pay, and e-payments. Project support was also provided for transformational projects such as the Connect to Work scheme and the Entrust Future contract arrangements. Five additional audit pieces were requested, including those relating to payments to children in prison and ICT reviews, leading to the cancellation of six other planned audits to balance resources.

The report highlighted that 53% of systems assurance work and 51% of compliance audit work had commenced. Proactive fraud activities included continuous monitoring of purchase cards and creditor payments, as well as a school compliance program. Reactive fraud activities involved 17 referrals, including those related to dog breeding, potential thefts at council establishments, and blue badge fraud. The internal audit service also generated approximately £250,000 in income through external client work for South Staffordshire Council and Newcastle Under-Lyme Council.

Regarding the implementation of audit recommendations, there were no high-priority overdue recommendations, nine medium-priority, and 38 low-priority overdue recommendations. The report indicated a positive trend in reducing overdue recommendations over the past 18 months.

Councillor Pert commended the Head of Internal Audit for the consistent fall in outstanding issues and inquired about the cost-effectiveness of the external work undertaken. It was confirmed that the external work covers its costs and provides valuable interaction with district-level members. Councillor Pendleton asked about resource planning in light of upcoming staff departures, and it was stated that this is still under discussion. Councillor Wallens questioned the completion dates for ongoing fraud investigations and assurance against ongoing losses, with the response that investigations will take as long as necessary, and reports will be provided to the committee when appropriate.

Proposed Addition to the Scheme of Delegation in relation to Confidentiality Agreements and Non-Disclosure Agreements

Paula Dalton, Legal Services Manager and Deputy Monitoring Officer, presented a proposal to add a delegation to the scheme, allowing senior leadership team members (bands A to C) to make decisions to enter into non-disclosure agreements (NDAs) or confidentiality agreements, following advice from the county solicitor. This is intended to streamline the process for entering into such agreements, which are sometimes required before negotiations can commence.

Councillor Pert raised concerns about safeguards, transparency, and reporting arrangements to ensure NDAs are used appropriately and do not undermine FOI, ERR duties, member oversight, or protected disclosures. It was confirmed that all such agreements would be recorded, and a paper trail would be maintained. Councillor Pert also sought clarification that the council's own NDA template would be used and that this delegation would not apply to employment contracts, which was confirmed. Councillor Wallens asked about the annual volume of NDAs processed and whether delegation risks reduce member oversight. It was stated that NDAs are rare, and the delegation would not diminish member oversight, as decisions that would ordinarily be brought to councillors would still follow that process.

Forward Plan 2025-2026

Lisa Andrews presented the forward plan for the Audit and Standards Committee, outlining the work schedule for the remaining civic year. She noted that the plan is cyclical and that any new items arising from committee discussions would be incorporated.

Proposed Addition to the Scheme of Delegation in relation to the Appointment of Board Members of Nexus Care Latko

Kate, presenting on behalf of the legal services department, outlined a proposed addition to the scheme of delegation concerning the appointment of board members to Nexus Care Latko. This proposal stems from an audit recommendation and aims to align the council's constitution with the amended shareholder agreement of Nexus. The change will clarify the authority to approve, appoint, or remove directors to the Nexus Care Latko board.

Councillor Pert questioned the safeguards and transparency measures to ensure appointments are merit-based, avoid political patronage, and maintain public trust. It was explained that the constitutional change and the amended shareholder agreement embed visibility in the appointment process, and a skills audit and checklist have been developed. Councillor Pert also inquired about annual performance appraisals for board members, and it was clarified that board member appointments operate under the Companies Act, with Nexus obligated to provide twice-yearly performance reports to Cabinet. The committee was asked to support the proposed measures and endorse the addition to the scheme of delegation for referral to full council.