• Home
  • About
  • 151 IMPACT AWARDS
  • Subscribe
  • Conference
  • Events Calendar
  • Webcast151
  • MOTB
  • Log In
  • Register

Room 151

Impact Awards –>
  • Treasury
  • Technical
  • Funding
  • Resources
  • LGPS
  • Development
  • 151 News
  • Blogs
    • David Green
    • Agent 151
    • Dan Bates
    • Richard Harbord
    • Stephen Sheen
    • James Bevan
    • Steve Bishop
    • Cllr John Clancy
    • David Crum
    • Graham Liddell
    • Ian O’Donnell
    • Jackie Shute
  • Interviews

Surrey failings lead to major restructure

0
  • by Editor
  • in 151 News · Funding
  • — 20 Sep, 2018

Surrey County Council is to restructure its finance department in response to a critical review by CIPFA of the authority’s financial management.

The CIPFA review found the council will lack sufficient reserves to meet its expected budget gap in 2019-20 unless it takes immediate action.

It listed a number of criticisms of the council’s financial management and, among measures to improve the situation, has helped the council draw up a plan to restructure the finance department.

A council report said that CIPFA had uncovered a “lack of confidence in the financial estimates and progress reports submitted by the finance service.

“This has arisen due to weaknesses in the underlying performance data that have generated volatility in the estimates presented.”

In addition, it said that the council had failed to meet its budgeted savings in recent years amid a “risk averse culture whereby there is little incentive to challenge existing practices or to raise standards of financial management”.

It also said that a lack of financial discipline across the council meant there was limited accountability among budget holders, leading to a “lack of granularity in a number of the estimated financial pressures”.

CIPFA’s report said that former finance director Sheila Little had developed a strong team bond within the finance function”.

However, it said that the team “lacks sufficient drive” to tackle the authority’s financial issues.
It said: “The team had previously raised concerns on the council’s financial situation, but too much of its focus has been on delivering the traditional finance function.”

CIPFA added that Surrey’s finance team was “too passive in its approach” and that a re-structuring is overdue.
The existing team is “top-heavy and there is insufficient delegation of responsibility to more junior staff”, the report said.

It added that multi-tasking across senior leaders in finance means that there is insufficient focus on raising performance standards.

The restructuring plan involves recruiting additional staff to meet short-term needs, as well as developing a new operating model in consultation with staff.

In August, Surrey appointed Leigh Whitehouse as its interim director of finance to replace Little, who left her post suddenly in July amid growing financial pressure at the authority.

Share

You may also like...

  • News round-up: Barking’s new lottery, spending cuts, Basingstoke’s property drive, Better Care Fund News round-up: Barking’s new lottery, spending cuts, Basingstoke’s property drive, Better Care Fund 27 Apr, 2017
  • Inter-authority lending rockets by £2bn Inter-authority lending rockets by £2bn 11 May, 2017
  • Statutory override for pooled investments in the balance as IFRS9 adoption approved Statutory override for pooled investments in the balance as IFRS9 adoption approved 16 Nov, 2017
  • Auditors call for improvements at Newham after unlawful spending on college Auditors call for improvements at Newham after unlawful spending on college 7 Jan, 2015

Leave a Reply Cancel reply

You must be logged in to post a comment.

  • Register to become a Room151 user

  • Latest tweets

    Room151 2 days ago

    Impact Awards: Liverpool’s cafe culture and Warrington’s investment in homes: The CCLA/Room151 Impact Awards showcase  finance teams with a direct impact on their local communities and the environment. This week we spotlight Liverpool City Council’s… dlvr.it/RxJsKb pic.twitter.com/dEYpaz6HP0

    Room151 2 days ago

    Doing something in #localgov #finance for housing or regeneration? Check out the 'Place Shaping' category room151.co.uk/impact-awards/… sponsored by @31tenConsulting in the CCLA/Room151 Impact Awards. #timetoenter !! pic.twitter.com/dU99vE6Wws

    Room151 2 days ago

    Doing something in #localgov #finance for Adult Social Care & Health? Check out the ASC&H category room151.co.uk/impact-awards/… sponsored by Fundamentum Social Housing REIT in the CCLA/Room151 Impact Awards. #timetoenter !!

    Room151 3 days ago

    Doing something in #localgov #finance for the environment? Check out the 'carbon management' category room151.co.uk/impact-awards/… sponsored by @ACSLLP in the CCLA/Room151 Impact Awards. #timetoenter !!

    Room151 3 days ago

    So what are the seven categories for the CCLA/Room151 Impact Awards? Here they are room151.co.uk/impact-awards/… #localgov #finance #outcomes

    Room151 3 days ago

    Why should LGPS be concerned about rising inflation?: The impact of the coronavirus pandemic, lockdown and wider economic uncertainty created  deflationary pressures which raise important considerations for the Local Government Pension Scheme writes… dlvr.it/RxF7Fs pic.twitter.com/JlcjROBIpz

    Room151 3 days ago

    JOB ALERT: LPFA Finance Director vacancy: London Pensions Fund Authority Finance Director and s151 Officer Competitive salary and benefits The largest Local Government Pension (LGPS) provider in London with around £6.5 billion of assets and 135[...] dlvr.it/RxBdJP

    Room151 4 days ago

    Richard Harbord: Further signs that local government finance is failing: The crisis in Liverpool and a fix for education budgets are further indication that local government finance is in need of a root and branch review. Even for those students[...] dlvr.it/Rx9PSV pic.twitter.com/sAanC2gEyu

    Room151 1 week ago

    Impact Awards: Finance helps launch school meals company and support business during lockdown: The CCLA/Room151 Impact Awards will showcase the way finance teams have a direct impact on their local communities and the environment. This week we spotlight… dlvr.it/RwnlF4 pic.twitter.com/AJhne1MVG4

    Room151 2 weeks ago

    "This work has made a vital, practical contribution to ensuring people have been supported through the pandemic." #impact #151awards #covid #s151 room151.co.uk/treasury/impac… #impactcasestudies #councilfinancemakesadifference

    Room151 2 weeks ago

    room151.co.uk/impact-awards/ #passiton #localgov #s151 #151awards pic.twitter.com/A0uO0dwBkM

    Room151 2 weeks ago

    Financial pressures loom for 2023 and beyond: Kate Ogden writes the government has addressed most of the short-term Covid-19 financial pressures facing English councils, but problems loom in 2022-23 and the years following. As we enter the[...] dlvr.it/RwfDsz pic.twitter.com/hpv2R09w75

    Room151 2 weeks ago

    Calling all #localgov finance officers and #s151s room151.co.uk/impact-awards/ It's the #151Awards Thanks to the @LGALocalism for helping us get the word out along with all the LA treasury societies. pic.twitter.com/Nkal9BrH1J

  • Categories

    • 151 News
    • Agent 151
    • Blogs
    • Chris Buss
    • Cllr John Clancy
    • Dan Bates
    • David Crum
    • David Green
    • Development
    • Forum
    • Funding
    • Graham Liddell
    • Ian O'Donnell
    • Interviews
    • Jackie Shute
    • James Bevan
    • Jobs
    • LGPSi
    • Mark Finnegan
    • Recent Posts
    • Resources
    • Richard Harbord
    • Stephen Fitzgerald
    • Stephen Sheen
    • Steve Bishop
    • Technical
    • Treasury
    • Uncategorized
  • Archives

    • 2021
    • 2020
    • 2019
    • 2018
    • 2017
    • 2016
    • 2015
    • 2014
    • 2013
    • 2012
    • 2011
  • Previous story FDs’ Summit 2018: Funding crisis poses ‘existential threat’ to public services
  • Next story Why ministers are deaf to local government warnings on finance

© Copyright 2021 Room 151. Typegrid Theme by WPBandit.