Philip Hammond

Localism

Troubled council keeps finance in-house

Plans for a troubled council to share its finance service have sunk after Craven District Council decided it could keep the work in-house.

It had looked at finance partnerships with Harrogate and Pendle Borough Councils but now only internal audit and part of procurement might be shared with Harrogate.

Craven sought a partner then because “an in-house solution wasn’t thought to be a viable option given the difficulties of recruiting and retaining qualified local authority finance staff”, the council said.

But it said the service had since improved and it now intended to appoint a strategic finance manager who will lead agency staff until suitable permanent officers are found.

Leader Chris Knowles-Fitton (Con) said: “Our long term goal is to have a mix of permanent staff supplemented by skilled, experienced agency staff when necessary. 

“This will deliver a robust and resilient team that is familiar with the organisation and has established good relationships with budget holders.”

Craven’s difficulties flared last winter when an audit report found its accounts were incomplete and had material errors.

New chief executive Paul Shevlin later found a £2m loan of which councillors were unaware.

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