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  • 5 weeks ago
Birmingham City Council’s new finance chief says lessons must be learned after an independent report found key governance and risk arrangements still cannot be fully assured. The warning comes as the authority continues its recovery from the financial crisis that led to effective bankruptcy.

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00:00Running a council means making decisions worth billions of pounds and public confidence depends
00:07on strong financial controls and effective oversight.
00:11Birmingham City Council has again been warned that despite progress since its financial
00:16crisis important improvements are still needed.
00:20An independent report presented to councillors concluded it could not provide reasonable
00:25assurance that fully effective governance, risk management and internal control arrangements
00:31are yet in place. Government commissioners overseeing the authorities' recovery agreed
00:36that progress had been made but said further improvements must continue. Opposition councillors
00:41described the findings as deeply concerning, arguing residents are still paying the price
00:47for weak controls, delayed systems and poor information. Questions were also raised about
00:52the troubled Oracle Information Technology project which has previously been identified as a major
00:58factor behind the council's financial problems. Birmingham's new cabinet minister for finance,
01:05Green councillor Chris Gargan, accepted the concerns raised during the debate. He said he'd been
01:12surprised and in some cases horrified by what he'd learned since taking on the role. He told councillors
01:18the authority must learn from past mistakes and said effective scrutiny alongside difficult questions would
01:25be essential if confidence in the council's governments is to be rebuilt.
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