Worcestershire County Council responds to financial review findings

Worcestershire Council leaders have responded to the findings of an independent review concerning the management of its finances, following the release of the External Assurance Review report.

The review, conducted by the Chartered Institute of Public Finance and Accountancy (CIPFA) in the spring, assessed councils receiving Exceptional Financial Support (EFS). Independent financial assurance is mandated by the government for councils needing support to balance their budgets.

Some corrective measures are already under way, according to Councillor Matt Jenkins, Leader, and Councillor Adam Kent, Deputy Leader and Cabinet Member responsible for finances:

“We are not going to argue with the findings of the report. We are getting on with fixing the issues it identified. Some of that work has already been completed since the report was produced including the introduction of a new finance management system, enabling us to monitor spending more effectively and forecast costs more accurately."

They added: “We are also reducing the number of Council procurement cards by 90% and have tightened the rules around who can authorise spending without going through the proper procurement process.”

Progress will be shared publicly in meetings that can be attended or viewed online.

In discussing the need for EFS, the leaders pointed to pressures within adults and children’s social care. The Council is obliged to support older and disabled adults, and children needing additional care or school transport.

Discussing financial burdens, Councillor Kent said:

“Simply put, the funding we receive from government has not increased at the same rate as these costs.”

Highlighting the wider issue, Kent noted that Worcestershire is among 35 councils requiring government support this year, which is an increase from 29 last year.

EFS is considered a temporary solution, and Jenkins emphasised the need for a national overhaul of council funding for social care:

“We will continue to press the government on that issue."

Looking ahead, in April 2028, Worcestershire Council and its six district councils will be replaced by two new unitary councils.

Leaders are dedicated to ensuring that finances are sound by the time of transition.

Jenkins and Kent confirmed: “We will keep residents updated and will be honest and transparent about the challenges ahead.”

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