Report highlights council’s positive progress while recognising historic problems

Shropshire Council has this week received the final report from CIPFA (the Chartered Institute of Public Finance and Accountancy) following its recent assurance review and assessment of the council’s financial position. Receiving the review was a requirement of the Exceptional Financial Support (EFS) awarded to the council.

The report acknowledges the positive steps taken by the council in recent months, including the change in leadership, the development of a comprehensive Improvement Plan, and the commitment shown by councillors and officers to delivering meaningful change.

In particular, CIPFA notes that:

“The Improvement Plan represents a very positive step in trying to change the culture in Shropshire.”

The report also states that:

“The approach and direction set by the Chief Executive is encouraging,”

…and recognises that:

“The council has recognised the need to address gaps in capacity and capability.”

The review assessed the council’s financial resilience, financial management, governance arrangements, capital programme, debt position and service delivery, and has provided recommendations to support further improvement.

In preparing the report, CIPFA reviewed a substantial number of council reports, strategies and plans, and held discussions with councillors and senior officers.

While recognising the progress made, the report also underlines the seriousness of the council’s financial position and highlights a range of historic challenges.

These include concerns relating to previous financial management arrangements, leadership, the delivery of savings programmes and organisational restructuring. CIPFA makes clear that although recent actions represent a positive start, further work is required to address the long-term financial pressures facing the authority.

The report contains 22 recommendations covering financial management and sustainability, service delivery and transformation, and organisational culture and leadership.

The council already has plans in place to address these issues through its Improvement Plan and Financial Sustainability and Recovery Strategy.

Councillor Heather Kidd, Leader of Shropshire Council, said:

“I am pleased that CIPFA has recognised the positive changes that have already been made and the commitment of both members and officers to driving improvement across the organisation.

“The report acknowledges that we have started to put in place the right foundations through our Improvement Plan, strengthened leadership and a renewed focus on capacity, capability and delivery.

“At the same time, we are under no illusion about the scale of the challenge we face. The report reflects many of the issues we already know about and reinforces the need to maintain momentum.

“We have made significant progress in a short space of time, but there is much more to do. We remain committed to delivering the improvements needed, strengthening our financial sustainability and ensuring that local people receive the services they rely upon in the years ahead.”

The CIPFA report can be seen here.