Council refutes 'use it or lose it' spending spree by managers

Published in Weston & Worle News on Thu 9th Mar 2006

North Somerset Council has hit back at accusations it fritters away council taxpayers' money on luxury items, while calls have been made for a full investigation into the claims. Last week Weston & Worle News printed claims from a council employee, who said managers at the authority 'spend money like water' at the end of the financial year, for fear of losing out in the following year's budget.

The member of staff, who thought they would lose their job if they were identified, claimed the money went on expensive trivialities such as top of the range TVs and kettles.

But executive member for finance and resources Cllr Mike Bell has rubbished the accusations.

He said: "I want to reassure your readers these claims are not true, the 'use it or lose it' scenario with regard to budget management simply does not exist.

"Yearly budgets are set and managers spend within those to deliver services to the public.

"In each of the past few years, we have in fact underspent on our annual budget.

"Far from being 'wasted' in some race against time, these underspends have been used to invest in services and reduce the council tax burden in subsequent years.

"Our financial management is scrutinised both internally, through the scrutiny panels and externally, through our auditors, to ensure that spending is targeted, goes to provide much-valued services and is not wasteful.

"This year £7.1 million of savings and efficiencies have been identified across the council so we do to seek to be as efficient with resources as possible."

But chairman of Weston's Senior Citizens' Forum Ken Lacey isn't satisfied with a flat denial of the claims and has called for a full investigation.

He said: "The accusation made by the employee is a very serious one, bordering on maladministration, and should not be brushed off by a simple denial from the chief executive or the leader of council.

"I am asking for a full scale investigation into these allegations by both the council's internal and external auditors.

"There has to be transparency in local government and the electorate will want some clear answers to these allegations.

"As in the case of the Campus overspend, to say that it is not appropriate to take disciplinary action for costly inefficiency is just not acceptable.

"This new allegation throws into doubt the competence of some senior staff and needs to be addressed effectively to restore public confidence.

"The fact that £7 million savings have been made in only one year shows that there is waste in the council and savings can be made."

Conservative finance spokesman Cllr Mike Roe has also called for a report on the claims, to be heard at a future meeting of the finance and resources policy and scrutiny panel.