“Boris Johnson defends playing tennis match with wife of former Putin minister in exchange for £160,000 Tory donation”

… “Mr Johnson insisted not all Russians should be tarred with the same brush – and there was nothing wrong with accepting Russian cash if donors were not guilty of “gross corruption”. …”

Good use of the word “gross” there – minor or moderate us absolutely fine then?

He goes on:

“If there is evidence of gross corruption in the way that gentleman you mentioned obtained his wealth, then it is possible for our law enforcement agencies to deprive him of his wealth.

“That is a matter for the authorities, it is not a matter for me. …”

Again that clever and calculated use of the adjective!

“Mr Johnson admitted for the first time today that the tennis match happened.

Since then Ms Chernukhin’s total of cash donations to the Tories since 2012 has climbed to almost £500,000.”

Last month she bid £30,000 for a meal and private tour of Churchill’s War Rooms with Defence Secretary Gavin Williamson at the Tories’ lavish Black and White Ball fundraiser. … “

https://www.mirror.co.uk/news/politics/boris-johnson-defends-playing-tennis-12209056

“100,000 low-cost homes have had rents hiked since 2012”

“Labour has unveiled plans to stem the loss of low-cost homes as new analysis reveals more than 100,000 social homes have been converted into a more expensive type of property in the last six years alone.

The party said it would scrap a policy introduced by the Conservative-Lib Dem coalition government in 2012 that forces housing associations and local councils to raise rents by an average of 40 per cent by converting social homes into “affordable homes”.

The announcement is the second to come out of Labour’s review into the future of social housing, which is likely to report in the coming weeks.

It comes as analysis seen by The Independent revealed the huge loss of social homes largely as a result of a change made by the coalition. …

While social rents are generally around 40 per cent of market value, affordable homes can cost up to 80 per cent of market rents, prompting criticism that in many parts of country they are out of the reach of people on ordinary incomes. …

The coalition made the conversion of low-cost social homes into affordable homes a key plank of its housing policy.

An official document from 2011 explaining the Government’s approach said: “The conversion of existing stock to affordable rent is a crucial element in generating additional financial capacity and it is anticipated that it will be integral to the offer that providers bring forward as part of their proposals for funding new supply.”

The change was made despite the Government’s own impact assessment making it clear that forcing the conversion of social housing into affordable housing would result in “greater costs to Government through increases in housing benefit”, although this was forecast to be offset by cuts to housing spending. …

At the same time as the change was made, Government funding for new social housing was ended entirely and instead diverted to fund “affordable” homes.

As a result, the number of new, Government-funded social homes has plummeted by 97 per year since 2010, with just 1,102 new homes completed last year – funded via existing programmes set up before 2010. …

About 102,000 homes have been converted since 2012, while around 60,000 have been sold to tenants under Right to Buy.

Only around 50,000 new social homes have been built in that time – the vast majority funded by housing associations. …”

http://www.independent.co.uk/news/uk/politics/labour-social-housing-policy-affordable-homes-100000-converted-coalition-government-a8256776.html

Seaton and Area Health Matters meeting, Friday 23 March 9 am1 pm – registration required

From the blog of DCC East Devon Alliance councillor Martin Shaw:

“A reminder to all involved in local community groups, especially those with an interest in health and wellbeing in the broadest senses, that Seaton and Area Health Matters will convene in the Town Hall on Friday 23rd March, 9 for 9.30 until 1 pm. There is still time to register!

Book here:

https://goo.gl/forms/7laMUjhByt8F0w053

You are invited to participate in this community led event with key stakeholders around the future health and wellbeing of all the people in our communities, in response to the new landscape affecting Seaton and surrounding area as a result of NHS and Government policies advocating Place-Based Care in health provision and cross-sector collaborative working with community groups

The aim: To discuss what we know, where there are gaps/challenges and how, as a community we will address these to ensure collaborative approaches to co-design and co-produce local health services/activities that meet the needs of all the people in our communities.

Invitees: Management and senior level employees and volunteers / trustees from community, voluntary and social enterprise sector as well as public and private organisations.

Area to include: Seaton, Colyford & Colyton, Beer, Axmouth, Branscombe

PROGRAMME:

Welcome: Mayor of Seaton – Cllr Jack Rowland

Community Context:
• Dr Mark Welland – Chairman of Seaton & District Hospital League of Friends
• Roger Trapani – Community Representative, Devon Health and Care Forum
• Charlotte Hanson – Chief Officer, Action East Devon

Strategic and Services Overview – Place Based Care:
• Em Wilkinson-Bryce – Royal Devon and Exeter NHS Foundation Trust
• Chris Entwistle – Health and Social Care Community Services
• Dr Jennie Button – Social Prescribing Lead – Ways 2 Wellbeing project in Seaton

Workshop, Networking and Discussion will form the main part of this event:
• Workshop 1 – What is working well and what are the challenges for Seaton and surrounding area?
• Workshop 2 – Working together to improve health and wellbeing outcomes? What support do we need?”

Reminder – Seaton and Area Health Matters meeting in Seaton Town Hall on Friday 23rd from 9.

“Councils STILL unable to access billions of pounds for new houses”

“A £2bn fund to build a new generation of council homes is yet to be released despite the UK’s shortage of social housing.

Theresa May promised five months ago that the state would address the crisis.

But Paul Dennett, elected Labour mayor of Salford, said councils still cannot apply for the money.

In a letter to Sajid Javid, secretary of state for housing, he wrote: “We are concerned and frustrated that… 

“We are still being advised by Homes England and partner registered providers [housing associations] that the guidelines for the allocation of grants to build homes for social rent have not been published, and that no date has been set for when this funding will be made available.” …

Councils are currently prevented from using the proceeds of social housing sales to build replacement homes.

Instead regulations have required private developers to build or fund so-called affordable housing with rents at 20 per cent below the market average. …

Mr Javid has yet to reply to Mr Dennett’s letter asking for details about the £2bn fund.

The Ministry of Housing said: “We are delivering the homes our country needs and since 2010 we have built over 357,000 new affordable properties.

“But we are determined to do more and we are investing a further £9bn, including £2bn to help councils and housing associations build homes for social rent.” …

https://www.express.co.uk/news/uk/932820/Councils-cannot-access-billions-pounds-funding-new-homes-property-development-Sajid-Javid

“Eight out of 10 academies in deficit, say accountants”

Academy budgets are in an even worse state than those of council-run schools with eight out of 10 in deficit, suggest figures from their accountants.

Two more years like this and the entire sector could face insolvency, says a report from the Kreston UK accountancy network which looked at 450 schools.
It follows data published on Friday which showed over a quarter of council-run secondary schools were in deficit.

The government disputes the findings of both reports.

The 450 schools analysed in the Kreston UK report are all audited by accountancy firms in the network and are a representative sample of academies in England, say the authors.

The figures, for the year ending 31 August 2017, show that of these academies:

55% were in deficit before the effect of depreciation of assets like buildings, equipment and furniture was taken into account

this rose to 80% when the accounts were adjusted to include depreciation.
The report, co-authored by accountants Duncan & Toplis, calls for more money to be put into schools to avoid staff cuts.

Staff make up 72% of costs in these academies, say the authors.

“This means that schools will have little choice other than to cut teacher numbers to reduce financial losses in future.”

The report warns that cutting staff numbers and finding enough money for redundancy payments could accelerate some schools towards insolvency.
Nick Cudmore, report author and director at Duncan & Toplis, said school senior management teams already faced tough decisions.

“Schools are doing everything they can to save as much money as possible; cutting back on staff, replacing experienced teachers with less qualified people and going cap-in-hand to parents, but it still isn’t enough to avoid overspending.”

He said the academies in the report were also delaying repairs and putting off replacing obsolete technology, which he warned could be more expensive in the long run.

“The whole sector will be on the verge of insolvency if they have just two more years like this one.

“Accountants can work with governors to help them save every last penny possibly, but without significant increases in public funding, this could become a full-blown crisis,” he said.

On Friday, research by independent think tank the Educational Policy Institute found the number of council-run secondary schools falling into deficit had trebled to 26.1% in the four years to 2017.”

http://www.bbc.co.uk/news/education-43435689

Devon County Council: the place democracy goes to die

Facebook post by DCC Lib Dem Councillor Brian Greenslade

Late last year we started to learn about plans by the Health Secretary Jeremy Hunt and NHS England to introduce by the 1st April Accountable Care Organisations to replace CCG’s in the Health Service. These organisations would provide health and social care services. Bringing these services together makes sense but democratic oversight appeared to be an after thought. ACO’s seemed to be based on similar type Organisations in the US.

What was clear was that little or no public scrutiny of these proposals had happened. Congratulations to Sarah Wollaston MP Chairman of the Health Select Committee who then intervened to stall this initiative to allow the Parliamentary Health Select Committee chance to scrutinise the proposals. The same was true at Devon County Hall where nothing about this was brought to the attention of members of the Health Scrutiny Committee.

Opposition to ACO’s started to brew up so then suddenly the Government and NHS England started to talk about integrated care systems instead which apparently are different. How different is not clear and I am concerned that this could be a back door attempt to introduce ACO’s.

Yesterday at the DCC Cabinet a report by the Chief Executive about Integrated Care Systems was considered. It failed to answer key questions but it was clear that changes from April were on the way.

My Lib Dem colleagues and I hotly contested the recommendations and called for time to have this report sent to Scrutiny first. This was voted down by the Tory majority.

We reacted to this by calling in the Executive decision for scrutiny. This as the effect of delaying any decision on this being made until 11th April at the earliest to consider representations by Scrutiny.

Amazingly the Tories are rushing scrutiny through by making it an urgent item for the Health Scrutiny meeting on the 22nd of March giving little time for consideration of this critical issue for the health of the people of Devon.

Democratic standards that the Lib Dem’s stand for mean little to Devon’s ruling Tories!”

LEP conflicts of interest – Heart of the South West LEP’s striking similarity to censured Greater Cambridge/Greater Peterborough LEP

This is our LEP board:
https://heartofswlep.co.uk/about-the-lep/lep-board/

Many of them have interests in the nuclear industry, housing and commercial development, procurement and recruitment allied to many of our LEP’s investment choices.

The Chairman of our LEP is Steve Hindley, Chairman Midas Group Limited.

Just one headline from many
“Midas to deliver new National College for Nuclear in Somerset”
https://www.midasgroup.co.uk/news/?id=770

This is what the Public Accounts Committee had to say about conflicts of interest at Peterborough LEP:

“… the Chief Executive of Cambridgeshire County Council and Peterborough City Council, told us that she had been concerned because the conflicts of interest policy “needed to be more detailed.”

In her written evidence, she stated that the conflicts of interest policy “did not include other interests such as land, property and investment interests of board members.” …

… We asked the former GCGP LEP Chair repeatedly about his own potential conflict of interest, concerning his construction company having the contract to build on a site, while the LEP was advising on what infrastructure should be on that site. Mr Reeve refused to discuss the matter. …

… We pressed Mr Reeve specifically on when his construction company had signed the contract and when he became aware of the potential conflict of interest. We found it hard to understand how there could not be a conflict of interest if his construction company was building a site on which the LEP, of which he was Chair at the time, was putting in funds to the infrastructure, which was presumably increasing the value of the site. Mr Reeve would not provide us with any dates. We pointed out that Mr Reeve’s attitude to openness was not in keeping with the Nolan principles for holders of public office and that people in the local area are entitled to know the answer to when his company signed the contract. Mr Reeve commented “It is a private matter, it is not relevant and there was no conflict of interest.” We do not agree that it is a private matter.

https://publications.parliament.uk/pa/cm201719/cmselect/cmpubacc/896/89602.htm

And here is a National Audit Office report which came to similar conclusions:

Click to access Investigation-into-the-governance-of-Greater-Cambridge-Greater-Peterborough-Local-Enterprise-Partnership.pdf

“Tory minister dodges questions on why Russians donate to his party and what they expect in return”

“A Tory minister has dodged a question asking him why Russians donate to his party and what they expect in return.

The Conservatives have received more than £820,000 in political donations from Russian oligarchs since Theresa May became Prime Minister.

This includes a £30,000 from the wife of a former Putin crony to dine with the defence secretary.

The widow of the murdered spy Alexander Litvinenko called on the Tories to return the donations telling the Prime Minister: “You need to be very careful who you are friends with.”

Transport secretary Chris Grayling was representing the government on Question Time.

But he ignored the question posed by presenter David Dimbleby who asked: “The point is why do they want to give money to the Tory Party, what do they get back from giving money to the Tory Party?”

Mr Grayling replied: “You can’t accept money from people who are not UK citizens or UK businesses.”

Russia Today presenter Afshin Rattansi hit back saying: “The wife of the former deputy finance minister, Putin’s former deputy finance minister Lubov Chernukhin at a fundraising event for Gavin Williamson the defence secretary of this country who protects national security in this country.”

Earlier this week Jeremy Corbyn was accused of politicising the Salisbury poison attack for criticising Russian donations to the Tory Party.

He told the House of Commons: “We’re all familiar with the way huge fortunes, often acquired in the most dubious circumstances in Russia, sometimes connected with criminal elements, have ended up sheltering in London and trying to buy political influence in British party politics,” he said.

“Meddling in elections, as the prime minister put it, and there has been over £800,000 worth of donations to the Conservative Party from Russian oligarchs and their associates.”

This evening Chris Grayling had no answer as to why those Oligarchs are so keen to donate to the Conservatives.

Instead he parroted the line about his party following electoral law saying: “We have clear rules about political donations, we follow those rules, they are properly scrutinised.

“What we must not do, we have a lot of people who are Russian, who are now UK citizens who live in London who’ve actually left Russia.”

He continued to say that those people should not be tarred with the same brush but he was interrupted by Afshin Rattansi who said: “This is the wife of the former deputy finance minister, where do you think she got the £30,000 to give the defence secretary?”

The Daily Mirror reported last month that the Tories had accepted £30,000 from the wife of a former crony of Vladimir Putin to dine with Defence Secretary Gavin Williamson .

The money was given by Lubov Chernukhin, who is married to ex-Russian deputy finance minister Vladimir Chernukhin, after she made a successful bid at last week’s Tory lavish Black and White Ball.

Her prize includes a private tour of Churchill’s War Rooms in Whitehall by the defence secretary before he hosts a dinner for her and a group of friends.

Shadow chancellor John McDonnell said the Conservatives had repeatedly opposed Labour plans for tackling financial crime by Russians in the UK.

“Over the last two years the Tories have repeatedly opposed our plans for smashing money laundering by the oligarchs,” he wrote on Twitter.”

https://www.mirror.co.uk/news/politics/tory-minister-dodges-questions-russians-12197819

LEP governance … in the wrong hands?

The report below states that the lead council for a Local Enterprise Partnership should exercise firm control over all aspects of the LEP’s governance and claims.

In our area that would be Somerset County Council.

Aaahhh … Owl has already foreseen a problem here:

Warning light for our LEP council partner’s finances (Somerset)

Public Accounts Committee: “Government still failing to get a grip on oversight of LEPs”

Owl can see almost no difference between governance and conflict of interest issues between Peterborough LEP and the Heart of the South West LEP at which exactly the same criticism can be made. Another post to follow on this later today.

“The Public Accounts Committee report finds case of Greater Cambridge Greater Peterborough highlights persistent concerns about ‘complexity and confusion’ in devolution.

In 2016 the Committee of Public Accounts reported on the governance of Local Enterprise Partnerships (LEPs) and made clear recommendations for improvement which were accepted by the Ministry of Housing, Communities and Local Government (the Department).

Despite this, the Greater Cambridge Greater Peterborough Local Enterprise Partnership (GCGP LEP) provides the latest example of the Department devolving powers and funding to LEPs in a manner characterised by both complexity and confusion.

The Department needs to get its act together and assure taxpayers that it is monitoring how LEPs spend taxpayers’ money and how it evaluates results.

The Department assures us that there was no misuse of public funds in this instance; however, this is due more to luck than effective oversight given that there appear to have been no effective mechanisms in place for identifying conflicts of interest in GCGP LEP. We are not at all convinced that the issues uncovered in GCGP LEP might not be found elsewhere in other LEPs.

We also put on record our displeasure at the conduct of the former Chair of GCGP LEP when giving evidence. He failed to appreciate the importance of good governance, showed a lack of remorse about the outcome for GCGP LEP, and was evasive when questioned about his potential conflict of interest.

Such an attitude only serves to underline the need for the Department to get a grip of its oversight of LEPs. It needs to implement quickly the recommendations of Mary Ney’s review of Local Enterprise Partnership governance and transparency, ensure that all LEPs and their boards are aware of the Nolan Principles for the standards of conduct expected in public life and ensure that they live up to these principles in practice.

Chair’s comments
Comment from Committee Chair, Meg Hillier MP:

“Local Enterprise Partnerships are not an abstract concept on a Whitehall flipchart. They are making real decisions about real money that affect real people.

This troubling case only serves to underline our persistent concerns about the governance of LEPs, their transparency and their accountability to the taxpayer.

The Greater Cambridge Greater Peterborough Local Enterprise Partnership failed to comply with the standards expected in public life. Yet there are also clear failings in oversight by central government.

Taxpayers need to be assured their money is being spent wisely and with adequate protections in place to prevent its misuse.

Central government must move swiftly to ensure the recommendations of the Ney review are fully implemented and we expect to see evidence that this has happened.

But it must also do a far better job of explaining the objectives and anticipated benefits of these local partnerships to local people.

Taxpayers surveying the increasingly complex landscape of local government might reasonably ask what LEPs are for.

It is wholly unacceptable that central government does not have a clear, up-to-date answer to that question.”

http://www.parliament.uk/business/committees/committees-a-z/commons-select/public-accounts-committee/news-parliament-2017/cambridge-peterborough-lep-report-published-17-19/

Follow link for:

report summary
https://publications.parliament.uk/pa/cm201719/cmselect/cmpubacc/896/89605.htm
report conclusions and recommendations
https://publications.parliament.uk/pa/cm201719/cmselect/cmpubacc/896/89605.htm
full report: Governance and departmental oversight of the Greater Cambridge Greater Peterborough Local Enterprise Partnership
https://publications.parliament.uk/pa/cm201719/cmselect/cmpubacc/896/89602.htm

Developer refuses to build more homes

Guardian report:

“Theresa May is saying builders need to open up their land banks and develop more sites, while Berkeley is unwilling to aggressively ramp up production. With conditions in the capital starting to look more precarious, it’s easy to see why Berkeley has reservations. After all, adopting overly ambitious strategies just before the market turns has caught out many a builder over the years.

Its comments on the complexity of getting work started is a clear signal to the government that it believes the best way to move forward is not to churn through the land on its books, but to remove the red tape around the development process.

Property Week agree, saying that:

Berkeley Homes has positioned itself directly against prime minister Theresa May, by refusing to increase the number of homes it builds despite government threats to housebuilders to either build homes on their land or face planning blocks.

Sarah Gatehouse, real estate tax director at Grant Thornton, tweets that the ball is back in the PM’s court:

“Berkeley announces in trading update it won’t build more homes than forecast, citing high transaction costs, the 4.5 times income multiple limit on mortgage borrowing and prevailing economic uncertainty. What’s Theresa’s next move? #housing”

https://www.theguardian.com/business/live/2018/mar/16/housebuilder-berkeley-group-homes-building-government-wetherspoons-trade-war-business-live

Another county moving to unitisation despite district council protests

Owl wonders what is going on under the radar in Devon and whether district councils are more worried about loss of power and influence rather than economic considerations … recalling that EDDC Tory Leader Paul Diviani rejected the idea of a Jurassic national park with Dorset because EDDC would lose control over planning.

“District councils in Buckinghamshire have responded angrily to government plans to abolish them.

Communities secretary Sajid Javid said yesterday that he was minded to agree a proposal from the county council to create a county-wide unitary council.

In a joint statement, Aylesbury Vale, Chiltern, South Buckinghamshire and Wycombe councils said: “While we are extremely disappointed, the ‘minded to’ decision is not set in stone, and we will be making the strongest possible representations to the secretary of state that this decision is not the right one.

“We don’t believe that this decision is in the best interest of our local residents, businesses, community groups, parish councils and various other stakeholders across the county and, based on our own engagement, we don’t believe it has strong local support.”

The districts had made a rival proposal under which Aylesbury Vale would become one unitary and the other three councils would form another.

They said this recognised differences in the economy, jobs, growth and housing markets across the county.

“A single large unitary will mean major opportunities will be missed in these areas and that a one size fits all model will not mean the best deal,” they said.

“We also question the savings the single unitary model claims to deliver.”

http://www.publicfinance.co.uk/news/2018/03/buckinghamshire-councils-angry-governments-unitary-plans

Number of secondary schools in deficit has ‘trebled’

Apparently, the South West is the region most being harmed by this underfunding.

“The number of state secondary schools falling into deficit in England has almost trebled in the last four years to more than a quarter, research says.
Analysis by independent think tank the Educational Policy Institute (EPI) found the proportion of local authority secondaries in deficit rose from 8.8% in 2013-14 to 26.1% in 2016-2017.
Its study of official figures also found a significant increase in the number primary schools in deficit.
The government disputed the findings.
The EPI report focuses on local authority schools because the data is publicly available. It excludes academies, which account for about 60% of secondaries and 20% of primaries in England.
The research adds to growing evidence of the financial struggles faced by a significant minority of schools.
This was highlighted during the General Election campaign as a major issue for voters.
The report also found two-thirds of council schools spent more than their income in 2016-17, while 40% have had balances in decline for at least two years in a row.
“For a significant proportion of schools in England, being able to meet the cost of annual staff pay increases from a combination of government funding and their own reserves looks highly unlikely, even in the short term,” said the report.
Jon Andrews, EPI’s director for school system and performance, said: “We are seeing an increasing number of schools spending more money than they have coming in and our analysis shows that increasing costs on staff are going to add to that pressure, even with the additional funding being delivered by the National Funding Formula. …”

http://www.bbc.co.uk/news/education-43415477

A new council HQ? Oh, oh – this looks VERY familiar!

Owl has been doing some digging about how Northamptonshire County Council (NCC) tanked and has come up with some worrying information which resonates somewhat worryingly with our own area …

Remember that NCC built a new HQ and almost immediately had to attempt to buy its way out of debt by selling it and renting it back to themselves.

The new NCC HQ (One Angel Square) was originally going to cost £34 million, then £40 million, then £43 million, then £52 million, then £53 million. It was eventually delivered ‘under budget’!

But as costs rose, the size of the building was reduced by 20%. So effectively the cost doubled!

NCC built their new HQ to replace 12 existing buildings. Those 12 buildings were claimed to be costing £53,000 a week to run. It was later claimed that the new building would save £52,000 a week in running costs. Work that one out!

As soon as the new building opened, staff complained about the lack of space and the 20 minutes every morning sorting out their ‘hot desks’.

http://www.itv.com/news/anglia/2017-10-12/53m-project-combines-12-council-offices-into-one-building/

Some FAQs from the early consultations:

Q4: Isn’t this just building up debt for the county when it can ill afford it?

A4: This is a spend to save scheme. The county council will continue to take
opportunities like these to invest in new infrastructure which will ultimately reduce the debt. By doing nothing the debt position will get worse than undertaking the new build.

Q5: How can the council afford to build a huge new office block on the one
hand but on the other hand plead poverty and cut services or turn off street
lights? Couldn’t this money have been better used to protect services?

A5: It is by taking this step that will help us protect services. By maintaining the status quo and spending increasing amounts of money to maintain and operate old buildings that are no longer fit for purpose the council would be forced to redirect costs from front line services. By taking these proactive decisions now and saving building operating costs in the future it will allow those savings to either reduce debt or be spent on front line services.

Q6: Surely there’s a less expensive solution. Why don’t you convert one of
your buildings – like JDH – so it can take more people? That would be a far
cheaper solution.

A6: The other options have all been professionally evaluated. By looking at all the costs and benefits of the different options a new build at the Angel Street came out as the best option.”

https://www.northampton.gov.uk/download/downloads/id/7116/statement-of-community-involvement-pdf
(page 149)

Which all looks just a bit too familiar…

Bailing out Northamptonshire County Council would be “a reward for failure”

More on that scandal – so easily replicated when a few arrogant, ignorant officers and councillors, whose majority gives them the belief they cannot ever be challenged or scrutinised, think they can get away with anything …..

“Northamptonshire county council (NCC), which declared effective bankruptcy last month, should be scrapped, a devastating inspectors’ report into widespread financial and management failures at the authority has recommended.

A government-appointed investigator’s report said the problems at the council were so deep-rooted that it was impossible to rescue it in its current form, and to do so “would be a reward for failure”. It recommends that ministers send in a team of external commissioners to take over the day-to-day running of the council until it can be broken up and replaced with two new smaller authorities.

The lead inspector, Max Caller, said NCC had ignored a growing financial crisis at the authority, which he said had been beset by poor management, lack of scrutiny and unrealistic budget-setting.

Explaining why he advised breaking up the council, Caller’s report says: “The problems faced by NCC are now so deep and ingrained that it is not possible to promote a recovery plan that could bring the council back to stability and safety in a reasonable timescale.”

He added: “To change the culture and organisational ethos and to restore balance, would, in the judgment of the inspection team, take of the order of five years and require a substantial one-off cash injection. Effectively, it would be a reward for failure.”

It was unlikely councillors and the officers had the strength of purpose to bring the council back into line, he said. “A way forward with a clean sheet, leaving all the history behind, is required.”

The council’s leader, Heather Smith, resigned after the report’s publication, telling the BBC that she blamed “vicious attacks by four local MPs”, adding “you cannot win” if the “machinery of government turns against you”.

Responding to the report, Northampton North MP Michael Ellis called the management of the authority a national scandal. All seven local Tory MPs criticised the council last month saying they had no confidence in its leadership [too little too late!).

The report rejected the council leadership’s claim that it had been disadvantaged by government funding cuts and underfunded given the pressure of a growing and elderly population. Similar councils had coped with these pressures and Northamptonshire “was not the most disadvantaged shire council”, the report says.

It excoriates the council’s disastrous attempt to restructure services by outsourcing them to private companies and charities, the so-called Next Generation programme. Poor design, chaotic management, and a lack of controls and oversight meant that budgeting was “an exercise of hope rather than expectation”, it says.

It drily notes that it was not clear whether the programme was still in existence.“It would appear to have been abandoned but that is not clear,” the report says.

The council had lost control of its budgeting in 2013 after a critical Ofsted report into its children’s services forced an expensive overhaul of child protection services, and never recovered, the report says. It said the council’s approach to financial management came across as “sloppy, lacking in rigour and without challenge”.

There was a lack of realism in business plans, and savings targets were frequently not met. Senior councillors and officials ignored or evaded criticism and challenge, it says, and budgets were set by without regard to need, demand or deliverability. “Living within budget constraints is not a part of the culture at NCC,” the report concludes.

Although financial officials had raised the alarm about the extent of NCC’s growing finanical problems as far back as 2015, this had been ignored by senior management and councillors. There was a culture in NCC where “overspending is acceptable and there are no sanctions for failure”, the report says.

The council had continually patched up financial holes with one-off uses of reserves, or by selling off assets and using the proceeds. The report concludes: “This is not budget management.”

By the end relationships with public sector partners such as the NHS has deteriorated so much that there is a “significant level of distrust that NCC will ever be able to deliver against its promises and undertakiings”.

It noted that the councils’ staff were not to blame for the fiasco. “NCC employs many good, hardworking, dedicated staff who are trying to deliver essential services to residents who need and value what is offered and available. The problems the council faces are not their fault.”

Last month the council issued a section 114 note – the local government equivalent to bankruptcy – because it said it could not set a balanced budget for 2018-19.”

https://www.theguardian.com/society/2018/mar/15/scrap-northampton-county-council-inspectors-say

Damning report on culture at insolvent Tory council

Anyone interested in how a council can go bad should read this relatively brief and easy-to-read report on the shenanigans which went on at Northamptonshire County Council prior to its technical insolvency. It was SO bad the Inspector recommends doing away with it entirely and creating two separate unitary authorities for a fresh start.

Full report here:

Click to access Best_Value_Inspection_NCC.pdf

Owl particularly “enjoyed”:

Section 3.46 – 3.52 – the behaviour of the Chief Executive and senior officers)

Section 3.78 – 3.84 – scrutiny (lack of)

Section 3.90 – 3.100 (role and function of the Audit Committee)

and Section 4.5

“The council did not respond well, or in many cases even react, to external and internal criticism. Individual councillors appear to have been denied answers to questions that were entirely legitimate to ask and scrutiny arrangements were constrained by what was felt the executive would allow. When external agencies reported adverse findings these were not reported with an analysis of the issues and either a justification or an action led response to a relevant decision taking body. At its most extreme, the two KPMG ISA 260 reports, stating an adverse opinion on Value For Money matters were just reported to the Audit Committee without comment and the unprecedented KPMG Advisory Notice issued under the 2014 Act was reported to full council without any officer covering report giving advice on what the response was recommended to be.

and 4.11:

“It is not possible to establish what action the corporate management team took in the face of all these issues as those meetings that took place were not minuted.”

As reported in the area’s local paper:

“Max Caller, an independent inspector, was called in by local government secretary Sajid Javid after allegations of financial mismanagement. He was also tasked with seeing if the local authority was being run properly by bosses and the cabinet’s Conservative councillors. …

His report, published this morning, says the origins of the crisis was the Ofsted inspection into Children’s Services in 2013 that caused emergency money to be pumped in, which meant the local authority ‘lost tight budgetary control’.

What came next was a poor response to the financial pressures, Mr Caller says, in effect chasing a heavily flawed model championed by departed CEO Paul Blantern.

He said: “Instead of taking steps to regain control, the council was persuaded to adopt a ‘Next Generation’ model structure as the solution.

“There was not then, and has never been, any hard-edged business plan or justification to support these proposals. Yet councillors, who might well have dismissed these proposals for lack of content and justification in their professional lives, adopted them and authorised scarce resources in terms of people, time and money to develop them.

“This did not and could not address the regular budget overspends which were covered by one off non-recurring funding sources.”

When the use of capital receipts to fund transformation was introduced by central government, Mr Caller says this was seized on as a way of supporting revenue spend – by classing some expenditure as ‘transformative’.

However until this week, there had been no report to full council – or anywhere else – that set out the specific transformation that was to be achieved, on a project-by-project basis. This goes against the terms of use of the money.

Despite his criticism of bosses, Mr Caller makes a point of separating the acts of managers and leaders from frontline staff.

He says: “NCC employs many good, hardworking, dedicated staff who are trying to deliver essential services to residents who need and value what is offered and available. The problems the council faces are not their fault.”

https://www.northamptonchron.co.uk/news/inspector-s-verdict-two-new-councils-should-be-created-in-northamptonshire-by-2020-all-others-should-be-abolished-1-8416675

The buck stops with councils on outsourced services says Ombudsman

“Councils must ensure that accountability for any outsourced services is not lost when the service is delivered by an external contractor, the Local Government and Social Care Ombudsman has told MPs.

In evidence to the Commons Public Administration and Constitutional Affairs Committee, Michael King said: “Dealing with complaints about services outsourced to private or voluntary providers or delivered through other types of partnerships has been a growing dimension of our work across all areas we investigate.

“The law is clear: councils can outsource their services, but not the responsibility for them. Councils need to keep robust oversight of any organisations they contract with and have clear arrangements in place for how complaints will be dealt with.”

http://localgovernmentlawyer.co.uk/index.php?option=com_content&view=article&id=34543%3Aaccountability-for-services-often-lost-when-they-are-outsourced-ombudsman&catid=59&Itemid=27

Insolvent (Tory) council – the blame game begins!

“Cash-strapped Northamptonshire County Council should be scrapped, according to a government report.

The report, ordered by Local Government Secretary Sajid Javid, recommends “a new start” which is “best achieved by the creation of two new unitary councils”.

Council leader Heather Smith resigned following the report’s publication.

Northampton North MP Michael Ellis called the management of the authority a “national scandal”.

He said he was “appalled” by the report, which “makes for chilling reading”.

Conservative councillor Ms Smith criticised “vicious attacks by four local MPs”, adding “you cannot win” if the “machinery of government turns against you”. …

The report said its findings are “very serious” for the council and its residents.

The council “did not respond well, or in many cases even react, to external and internal criticism”, Mr Caller said.
He added individual councillors “appear to have been denied answers” to legitimate questions. …

Mr Caller was also critical of the council’s ‘Next Generation Model,’ which planned to outsource all services and create four new bodies for child protection, care of vulnerable adults, providing health and well-being services, and improving the county.

The report said the model did not have “any documented underpinning” of how it intended to deliver £68m of savings, and “served to obscure and prevent effective” budgetary control.

It does add the council “employs many good, hardworking, dedicated staff”.”

http://www.bbc.co.uk/news/uk-england-northamptonshire-40610349

Royal College of Emergency Medicine dismisses bad weather and flu as cause of A and E crisis

“Unacceptable A&E waits are the new normal, doctors declared today, after NHS hospitals suffered yet another worst month on record.

The Royal College of Emergency Medicine dismissed excuses about bad weather and flu and urged patients to write to their MPs to demand improvement.

A&E units saw only 85 per cent of patients within four hours in February, worse than the previous low of 85.1 per cent seen in December and January last year. In major hospitals, the figure was 76.9 per cent, also the lowest since records began in 2010, and in some units barely half of patients were dealt with in time. It means 100,000 more people suffered longer delays than last year.

NHS chiefs blamed an inexorably rising tide of sicker patients, with this winter seeing 261,000 more people coming to A&E than last year, up 5 per cent. More of these patients were also ill enough to need a bed, with emergency admissions up 6 per cent to 1.4 million. Wards were about 95 per cent full all winter, well above the 85 per cent estimated to be safe.

Taj Hassan, president of the Royal College of Emergency Medicine, said: “Performance that once would have been regarded as utterly unacceptable has now become normal and things are seemingly only getting worse for patients. It’s important to remember that while performance issues are more pronounced during the winter, emergency departments are now struggling all year round.”

In January the heads of half of England’s A&E units wrote to the prime minister to warn her that patients were dying in corridors.

Dr Hassan said: “The current crisis in our emergency departments and in the wider NHS is not the fault of patients. It is not because staff aren’t working hard enough, not because of the actions of individual trusts, not because of the weather or norovirus, not purely because of influenza, immigration or inefficiencies and not because performance targets are unfeasible. The current crisis was wholly predictable and is due to a failure to prioritise the need to increase healthcare funding on an urgent basis.”

He added: “We need an adequate number of hospital beds, more resources for social care and to fund our staffing strategies that we have previously agreed in order to deliver decent basic dignified care. We would urge our patients to contact their MP to tell them so.”

Nigel Edwards, head of the Nuffield Trust think tank, said that A&Es were in their worst shape since 2004.

“The main waiting times targets for cancer and planned treatment are being missed, and there is no sign of recovery,” he said. “Fundamentally, these pressures are driven by a lack of money and staff. If these are not addressed it is inevitable that as difficult as February has been for NHS staff and patients there will be worse to come.”

Figures from the British Social Attitudes survey last week showed dissatisfaction with the NHS up seven points to its highest level since 2007, with most people blaming the government.

A spokesman for NHS England said: “NHS staff continued to work hard in February in the face of a ‘perfect storm’ of appalling weather, persistently high flu hospitalisations and a renewed spike in norovirus. Despite a challenging winter, the NHS treated 160,000 more A&E patients within four hours this winter, compared with the previous year. The NHS also treated a record number of cancer patients over these most pressured months of the year.”

He pointed to figures showing that 22,800 routine operations had been cancelled in January, less than half the number feared.

However, the Royal College of Surgeons pointed out that 62,000 fewer operations were carried out this winter, despite rising demand, because procedures were not scheduled in the first place to help take pressure off A&Es.

Professor Derek Alderson, its president, said: “NHS England’s advice to hospitals to cancel all elective operations in January was a necessary evil under the circumstances. It meant patients avoided the distress of having their operation cancelled after turning up to hospital and it freed up NHS staff and resources to deal with patients needing emergency treatment. However, it also inevitably prevented many patients who are in discomfort or pain from having an operation when they needed it, potentially causing their condition to deteriorate.”

Jonathan Ashworth, shadow health secretary, said: “The government has let NHS patients down this winter. Every year under this government waiting times get worse and more and more patients face hours on end in overcrowded emergency departments. The brilliant staff of the NHS have been working round the clock in the wind and the snow but they’re being undermined by a government which has refused to give the NHS the resources it needs.”

Source: The Times (pay wall)

UK deaths up 10,000 over 7 weeks – even allowing for bad winter AND flu

“Ten thousand more people died in the first seven weeks of this year than would be expected, the biggest difference since the Second World War.

Loneliness, overstretched hospitals and the crumbling elderly care system could all be contributing to a sharp increase in deaths, which suggests that British life expectancy is about to start falling, academics say. They have called for an urgent investigation after the latest in a string of figures that show older people are dying earlier than expected.

Infant mortality has also risen, with dozens more babies dying in 2016 than the previous year.

After decades of rising life expectancy, progress has stalled in recent years in Britain, while it continues in many other countries. In January The Times revealed that in some struggling parts of the country life expectancy has dropped by a year since 2011.

Now provisional figures from the Office for National Statistics show that 93,990 people died in the first seven weeks of this year, up 12.4 per cent on the average for the previous five years, an extra 10,375 deaths. This is the biggest difference since 1940, when deaths were up by 16 per cent, and the fourth biggest since 1840, Danny Dorling, an Oxford professor who analysed the figures, said.

He said that it was quite remarkable, adding: “People have become a bit immune to this. Five years ago this would have got a lot more attention, this huge number of people dying.”

Writing in the BMJ, Professor Dorling linked the deaths to hospitals that were “struggling to cope” in winter as they were deluged by frail elderly patients with nowhere else to go. “It’s Alzheimer’s, dementia and so on, these are things people are dying of. It’s frail people. People are dying two or three years earlier than they would do.”

Such people may also be more isolated because bus services were reduced and relatives working longer hours during difficult economic times were unable to visit them, he speculated.

He insisted that flu and winter cold could not explain all the deaths and officials must look at deeper causes. Respiratory illness such as flu were responsible for 18.7 per cent of fatalities, barely up from 18.3 per cent in the same period last year. “It ain’t flu and it wasn’t flu before,” he said.

He wants the Commons health and social care committee to investigate, saying the government is “just not interested”.

Caroline Abrahams, of Age UK, said: “It is extremely worrying that more older people are dying during what was a relatively mild winter. Older people have felt the brunt of long-standing cuts to social care and stagnant funding for the NHS.”

Separate ONS figures yesterday showed that deaths of babies under one rose from 3.7 per 1,000 to 3.8 per 1,000 in 2016, the second year in a row they increased after decades of decline.

Norman Lamb, the Liberal Democrat former care minister, said: “The government must urgently examine the cause and what might be driving this disturbing reversal of historic falls in infant mortality. The fact that the NHS is under such strain may well be contributing to this.”

A spokesman for the Department of Health and Social Care said: “We are absolutely committed to helping people live long and healthy lives, which is why the NHS was given top priority in the autumn budget, with an extra £2.8 billion, on top of a planned £10 billion a year increase by 2020-21. Along with Public Health England, we will consider this.”

Analysis

In the first 49 days of this year, an extra person died every seven minutes compared with the five years before. This is not a one-off, because deaths were also higher than normal last year after a jump in early 2015 (Chris Smyth writes).

Because so many older people are dying sooner than expected, life expectancy has stopped increasing. If this year’s trend continues, British lives will start to become shorter, something unprecedented in modern times. The growing chorus from academics demanding investigation deserves to be heeded, but finding the reason will not be easy. The issue goes far wider than the NHS and social care — people’s health is influenced by their jobs, homes and families.

Given the lack of certainty, the risk is that the data will simply become ammunition for political skirmishes about whether “austerity kills”. This makes ministers and the officials who report to them understandably wary of looking into what is happening.

But it was Theresa May who spoke of the “burning injustice” that the poor die earlier than the rich. This gap is growing. Her government should not be afraid of asking why.”

Source: The Times (pay wall)