Book Description
The Department for Communities and Local Government has increased flexibility for local government spending. Local authorities are now more able to use government funding according to local priorities. However, the Department cannot be sure that the local accountability system is ensuring that local authorities are achieving value for money with their funding. There is a particular gap in assurance for £2.8 billion of 'targeted' grants, where departments expect local authorities to spend funding on a specific activity, but do not then monitor whether they do. This gap includes grants targeted at local welfare provision and transport improvement schemes. Additionally, the Department is placing an increasing onus on residents and councillors to scrutinise local authority decisions, but there is a risk that the quality and accessibility of data is insufficient, while councillors may not always have the skills or time to fulfil this role. Where departments now fund local services through cross-border and multi-agency organisations, such as Local Enterprise Partnerships and Health and Wellbeing Boards, they need to introduce clear systems and rules around both the transparency and accountability of money spent by joint bodies.