PracticeConsultingPublic Sector – Council losses pinned on staff

Public Sector - Council losses pinned on staff

Two senior accountants at Middlesbrough Borough Council have kept their jobs despite being found responsible for the authority losing #557,000 in housing subsidy.

Management consultants from Price Waterhouse who carried out an independent investigation, blamed human error for the loss during the current financial year. The errors, made by senior staff who were qualified accountants, were made when finalising Middlesbrough’s housing revenue account.

The unnamed officers concerned failed to claim subsidies for leasing equipment hired in the last financial year, which led to less government cash being awarded for the current year.

A spokesman for the council said: ‘A disciplinary investigation has been held, and action short of dismissal has been taken against the officers involved. This is the end of the matter.’

The chief executive’s report said: ‘The peculiar circumstances of local government re-organisation may have meant that it was not always possible to apply proper handover procedures as effectively as would be in normal circumstances, when staff changes are relatively infrequent.’

He also found that the use of internal audit staff as ‘trouble-shooters’, helping the departmental managers during the handover period had affected the usual planned audit service.

Related Articles

5 tips for SMEs to protect cash flow

Accounting Software 5 tips for SMEs to protect cash flow

5m Alia Shoaib, Reporter
Tyrie on Finance Bill 2017: ‘Making Tax Policy Better’

Consulting Tyrie on Finance Bill 2017: ‘Making Tax Policy Better’

11m Stephanie Wix, Writer
Managing partner Q&A - the year ahead: Richard Toone, CVR Global

Accounting Firms Managing partner Q&A - the year ahead: Richard Toone, CVR Global

12m Kevin Reed, Writer
Deloitte 'self-imposes exile' on government contracts to defuse PM row

Accounting Firms Deloitte 'self-imposes exile' on government contracts to defuse PM row

12m Kevin Reed, Writer
Managing partner Q&A - the year ahead: Julie Adams, Menzies

Accounting Firms Managing partner Q&A - the year ahead: Julie Adams, Menzies

12m Kevin Reed, Writer
Friday Afternoon Live: Deloitte's tech thing; PAC wants HMRC 'contingencies'; and Sports Direct

Business Regulation Friday Afternoon Live: Deloitte's tech thing; PAC wants HMRC 'contingencies'; and Sports Direct

1y Kevin Reed, Writer
Friday Afternoon Live: HMRC complaints rise; Deloitte scoops big audits; and corporate reporting woes

Audit Friday Afternoon Live: HMRC complaints rise; Deloitte scoops big audits; and corporate reporting woes

1y Kevin Reed, Writer
New head of equity capital markets for KPMG

Accounting Firms New head of equity capital markets for KPMG

1y Stephanie Wix, Writer