Latest news with #AuditScotland
The Herald Scotland
5 days ago
- Business
- The Herald Scotland
North Ayrshire Council warned of £46.7million funding gap
The report revealed that the council's latest Medium Term Financial Outlook has identified a structural funding gap of £46.7m in the three-year period to 2027-28 (including HSCP pressures). Projected savings from transformation fall significantly short of the savings required. Officers are clear that future recurring savings also need to be made through workforce changes, cuts in services, and council tax and fees and charges increases. Officers have indicated that future recurring savings also need to be made through workforce changes, cuts in services, and council tax and fees and charges increases. However, Audit Scotland claim the transformation programme needs to be sufficiently ambitious to respond to the scale of the financial challenges. The Accounts Commission's Local government in Scotland Financial bulletin 2023-24 noted that councils need to intensify transformation activity, progressing at scale and pace to ensure their financial sustainability. The council's current transformation programme, known as its Sustainable Change Programme, was approved in 2023 and clearly sets out how it intends to transform its services, in line with its priorities, through five workstreams and six service reviews. Between 2021-22 and 2024-25 the council achieved financial efficiencies from its Sustainable Change Programme of £3.136m. They plan to make further efficiencies of £8.5m over the next three years. There was scope for the council to consider opportunities for more radical transformational change with partners. Mark Boyd, Head of Service (Finance), told the committee that in terms of transformation there is a lot of work going on and the solar farms would generate revenue. They were progressing with a number of services reviews like waste services, learning resource reviews and digital workstreams. There was also more momentum about how the 32 councils could better work together. In areas like blue badges, he said they could maybe have one solution across the authorities. Thirty-two councils were all doing similar tasks and they had to look to harness that activity and target efficiency from it. Budget preparations were beginning next week with the executive leadership, the finance boss revealed. There were also ongoing discussions with other Ayrshire councils around wider reform and opportunities to share services and that would continue although there had to be the will to progress that through three separate entities that had to be done at officer level and leadership level.
The Herald Scotland
28-05-2025
- Health
- The Herald Scotland
Scottish Government urged to improve NHS governance to deliver reforms
It recommended that the nation's health system must be reformed to remain affordable and sustainable and said that better governance was key to achieving this. The report states that "it is not yet clear" that NHS Scotland's governance arrangements are designed to facilitate and deliver "the extent and pace of reform that must be achieved in the coming years". It notes there is scope for the current Blueprint for Good Governance to be "strengthened" and "refreshed". Audit Scotland has also urged the Government to make better use of non-executive directors to provide more scrutiny of the system. READ MORE: 'One in nine' Scots on NHS waiting list as delays hit record Scottish GP warns of over reliance on popular weight loss drugs Mounjaro: Scottish woman on highs and lows of weight loss drug They warned the planning and governance of healthcare in Scotland is becoming increasingly complex, limiting the ability of NHS boards to drive reform. Stephen Boyle, Auditor General for Scotland, said: 'The delivery of NHS services must be reformed for Scotland's health service to remain affordable and sustainable. 'NHS Scotland's governance arrangements are key to delivering that reform, but they need to be strengthened. 'The planning of healthcare in Scotland is becoming more complex and the Scottish Government needs to ensure lines of accountability and decision-making are clear.' NHS Scotland consists of 22 boards, including 14 health boards, with oversight lying with the Scottish Government. Audit Scotland said the mix of local, regional and national partners in the system made decision-making and accountability difficult. The Scottish Government has introduced a new planning framework, while a fresh national strategy is due this year. The watchdog's report said this will provide clarity for the NHS, while helping boards to work better together to deliver reform. But it warned it will also be challenging to implement. It said that the blueprint for good governance created with the Scottish Government had been well-received, but that there was scope for it to be strengthened in a way that more clearly set out how governance would be adapted to deliver reform. The Scottish Conservatives have said the report from Audit Scotland acts as "proof" the NHS is being mismanaged by the SNP. Scottish Conservative's health spokesperson Dr Sandesh Gulhane MSP said: 'This damning report is proof that our health service is being chronically mismanaged by the SNP. 'Successive nationalist health secretaries, including Humza Yousaf and Nicola Sturgeon, have decimated our NHS and pushed hardworking staff to breaking point. 'The report makes clear the SNP are an obstacle to the change that's so desperately needed to make our health service more effective. That includes too much money being wasted on bureaucracy, which should be spent on the frontline. 'We need to modernise our NHS to make best use of staff time and free up capacity to support and treat patients. 'That's why the Scottish Conservatives have proposed bold and ambitious plans including an app which will put power in the hands of patients and introducing 'Super Saturdays' to reduce waiting times.' Meanwhile, Scottish Labour has said the SNP's "overcrowded and bureaucratic" structure is "hindering accountability". Scottish Labour's Health spokesperson Jackie Baillie said 'Scotland's NHS is at breaking point and patients and staff across Scotland are suffering the consequences of the SNP's failure. 'The status quo won't cut it, but the SNP's overcrowded and bureaucratic structures are standing in the way of modernisation and hindering accountability. 'A Scottish Labour government will cut the number of health boards, reduce bureaucracy and red tape, improve accountability, put patients and frontline services first, and build an NHS that is truly fit for the future.' Cabinet Secretary for Health and Social Care, Neil Gray said: 'I acknowledge the Auditor General's spotlight report on governance in the NHS in Scotland. 'This supports the approach we have already set out for protecting, strengthening and renewing our National Health Service. "The recently published Operational Improvement Plan that focuses on the four key areas of improving access to treatment; shifting the balance of care; digital and technological innovation; and prevention, along with the forthcoming publication of a population health framework and a health and social care service renewal framework in June, establishes a clear path. 'In order to ensure this modernisation and renewal of our services is supported, good governance will be key and the Scottish Government will work closely with NHS Boards to ensure we deliver on our ambitions.'
The Courier
21-05-2025
- Business
- The Courier
'Significant failings' at Forth Valley College over £76k of public cash
A Forth Valley College (FVC) project saw £76,000 of public funding paid into non-college bank accounts, prompting a police investigation, an audit has found. A review of the institution's 2022-23 accounts by Scotland's auditor general has revealed the details of the Fuel Change project's 'series of failings'. FVC says it has made significant progress in 'strengthening the processes for college-run projects'. Fuel Change, which started in 2020, is described as 'an apprenticeship challenge aimed at solving climate-related issues'. Between 2020 and 2023, it received over £1 million of public cash – £811,000 from the Scottish Funding Council, £100,000 from Skills Development Scotland, and £126,000 via other public sector grants. The audit found that staff involved in the Fuel Change project knowingly did not follow the college's financial protocol. In September 2022, it was agreed that ownership of Fuel Change would be handed over to its project director, Jennifer Tempany, and consultant David Reid of Paradigm Futures Ltd. At the time, Ms Tempany was the college's director of strategic partnerships and regional economy. The transfer would officially remove FVC from the arrangement. However, this change was delayed. Then, in November 2022, it came to light that contracts had not been properly drawn up for project spending totalling more than £900,000. A supplier had also been appointed without competition. During April 2023, the college raised concerns over invoicing arrangements that involved £76,000 of funding bypassing FVC and being deposited into accounts overseen by Ms Tempany and Mr Reid. FVC began an internal investigation and consequently reported the matter to Police Scotland. The police said it was 'clear there was a mismanagement of funds but no way to prove any criminal intent.' Ms Tempany was suspended and later dismissed, while the college 'cut ties' with Mr Reid. Ms Tempany took FVC's management board to an employment tribunal last year, claiming unfair dismissal, but the judge ruled in the college's favour. According to the audit report, the pair 'continue to run the project under a different name and within a new entity.' Stephen Boyle, auditor general for Scotland, said: 'Forth Valley College did not oversee and manage the finances of the Fuel Change project properly, and this led to significant failings. 'The college has since taken action to minimise the risk of these failings happening again.' He continued: 'There are lessons to be learned for other colleges and public bodies, who need to make sure they can manage the risks associated with involving external bodies in projects.' Abhishek Agarwal, chair of Forth Valley College's board of management, said: 'The college is aware of the Audit Scotland S22 Report and has worked closely with Audit Scotland in terms of the content of the report. 'The Audit Scotland report also recognised the significant progress we have made in strengthening the processes for college-run projects. 'These improvements are designed to minimise the risk of similar issues arising in future, and we remain fully committed to regularly reviewing these arrangements to ensure they remain robust and fit for purpose. 'The external auditor's Annual Report for 2022-23 also concluded that – with the exception of the stand-alone net zero project – the College has effective arrangements in place for financial planning, governance, and performance management. 'For clarity, the stand-alone project is no longer connected to the College and has been operating as a separate entity since June 2023.'
The Herald Scotland
21-05-2025
- Business
- The Herald Scotland
WICS: Ministers rapped for 'failings' in public spending scandal
It highlighted "serious concerns" over shortcomings in the Scottish Government's approach, with a "complete failure" by the Government to challenge the culture at WICS, which led to an "unacceptable use of public funds". Leading Scottish Conservative Graham Simpson said the "whole scandal" raises the question of whether WICS should be allowed to continue at all in its current form. Graham SimpsonMinisters had come under increasing scrutiny themselves after admitting they gave retrospective approval over a controversial move by WICS that ignored Scotland when sending chief operating officer Michelle Ashford off on an £80,000 training trip to the US which included two £5000 Transatlantic flights. Ms Ashford's trip to Harvard Business School as part of a run of spending described as "unacceptable" by public spending watchdogs Audit Scotland. READ MORE: What is WICS and why is it at the centre of a national scandal? It led to WICS chief executive Alan Sutherland, one of the highest paid public sector workers, being forced from his role with immediate effect in December, 2023. Public spending watchdog Audit Scotland had been critical over failing to seek Scottish Government approval for spending in advance. The committee says the Scottish Government should review systems for identifying concerns with public bodies to ensure any issues are caught at an early stage. The payouts included sending the head of external relations and strategy on a 13-day Transatlantic executive development programme course costing £20,404 in 2019 at Columbia University in New York. Travel and accommodation expenses amounted to £1,056. There was an £84,620 spend for a head of retail on an executive Master of Business Administration [MBA] course over two years from September, 2018 which included time in London and a five-day assignment in Argentina with travel and accommodation costing £10,856. A similar two year course for another senior manager from January, 2017, involving an assignment in Argentina cost £72,795 including £11,713 travel and accommodation expenses. And some £87,769 was spent on 40 days of executive coaching for the senior management and executive team over five years at the Stirling office. The committee highlighted 'inappropriate and unacceptable' spending on training courses for senior staff, benefits to the workforce and, hospitality. A new report from Holyrood's Public Audit Committee found that the board of WICS failed in its responsibilities which led to a lack of financial control. This meant that decisions taken did not always provide value for money to the public purse, with WICS also showing a failure to follow even its own rules. Video: WICS was the feature of a rebrand promotional film. Committee convener Richard Leonard said: Some of the evidence we have heard about the arrangements in place at WICS was simply extraordinary. 'That the body, charged with promoting long term value from Scottish Water to its customers, itself failed to live up to the standards required of a public body left the committee with deep concerns. 'But the committee is clear that there also appears to have been a serious lack of oversight from the Scottish Government. This failure from those who are meant to be safeguarding the public purse is simply unacceptable.' Disgraced WICS £182,500-a-year executive Alan Sutherland, was given six months salary in lieu of notice which the watchdog says "he was legally due". While the committee said it recognises the changes which have been made at WICS, it has called on the current board to undergo refresher training on their roles and responsibilities to ensure that the failure of responsibilities does not happen again. Mr Leonard added: 'We have heard about significant changes within WICS and the organisation's commitment to improve the governance arrangements. These are clearly welcome. But we want to see concrete evidence of these changes to ensure that the unacceptable culture that was in place has truly gone.' Scottish Conservative MSP Graham Simpson said: 'The behaviour of WICS has been deplorable. 'From lavish five-star dinners to swanky trips abroad flying business class and expensive training courses – all on the public purse – this organisation had a wild west approach to spending. "The Scottish Government, who were meant to be watching what was going on, was sleeping at the wheel and must also take the rap." A Scottish Government spokesman said: 'Ministers have been clear that the approach to expenditure at the Water Industry Commission for Scotland (WICS) up until December 2023 was completely and utterly unacceptable. 'We have taken steps to improve our sponsorship function, completing all the management actions set out in the internal review of WICS sponsorship published last November. 'We want to thank the Public Audit Committee's for their report and will provide a full government response in due course.'
Times
16-05-2025
- Business
- Times
Officials failed to prevent misuse of public money at water regulator
Government officials failed to prevent an 'unacceptable use' of taxpayers' money at the nation's troubled water regulator, MSPs have found. A 'catalogue of failures' at the Water Industry Commission for Scotland (Wics) led to inappropriate spending, the report published on Friday concluded, including £200-a-head meals, gift cards for staff and a £77,000 Harvard business course for a senior manager. Alan Sutherland, the former chief executive of Wics, stepped down after the publication of a damning Audit Scotland report in December 2023. Its findings prompted further investigations into the quango, which uncovered more instances of spending outside public finance guidelines and Donald Macrae, the chairman, resigned in October last year. The body acts as the economic regulator for Scottish Water and is supposed to
