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Feb 13 2013

Armchair Auditing Harrow Council’s Financial Mess

harrow_council_logoReading Harrow Council’s Revenue and Capital Monitoring report (here) which is lined up for the Council’s Cabinet meeting this week, it’s interesting to see that a couple of points in the report are worth pointing out.

Firstly, the good news. The disastrous IT provision that the Council is hell-bent on pursuing with Capita has netted the Council service credits of £250,000 to date. These would normally be paid out when a service provider doesn’t meet the service level agreements it signed up to. Most organisations would rather have the service they contracted for, rather than service credits, but it looks like this speaks volumes on the service that the Council has signed up for.

On the bad news front, Legal and Governance Services is projecting an over spend of £250,000 resulting from delays in establishing the shared service with Barnet (£75,000), under recovery of income from citizenship ceremonies (£25,000), overspend due to the level of Mayoral engagements (£50,000) and cost in relation to increase in volume of child protection cases (£120,000).

[pullquote align=”right” textalign=”left|center|right” width=”30%”]£50,000 overspend on the Mayor’s office[/pullquote]

A higher “parking enforcement income” has netted nearly £600,000 more than projected, and Community Health and Wellbeing have overspent by £276,000. The Council has also written off nearly £15,000 debt owed by Birmingham City Council for a looked-after child living in Harrow, and a is looking to write off a further £57,000 it thinks is owed by the Primary Care Trust. As Harrow PCT ceases to exists from April 30, 2012, there could be a total of £2,747,000 at risk of not being paid.

The Children’s Directorate is forecasting a “slippage” of £8,677,000, mainly due to “delays on the school expansion programme”, and Environment and Enterprise reckon they have a “slippage” of £2,712,000.

We’d recommend you read the full report for further details. And if you find out how a nine million pound mess can be a mere “slippage” please let us know in the comments, below.

 

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1 comment

  1. Stephen Lewis

    This administration is a shambles, the so called budget is a disgrace the sooner we have a conservative council and a good leader the better. This administration cannot and should not be trusted with our money .

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