Source · Select Committees · Housing, Communities and Local Government Committee
Recommendation 19
19
Paragraph: 89
The absence of section 114 notices before 2018 is adduced as evidence that the regime...
Conclusion
The absence of section 114 notices before 2018 is adduced as evidence that the regime has been broadly successful. The consequences for a council of issuing a notice are serious, however, and we are concerned that, rather than concentrating minds, the regime might be hindering good financial management, as it lacks intermediary measures that councils can use to flag up concerns. Croydon Council delayed issuing a notice for fear of the negative publicity and the statement it would make about its financial position. Northamptonshire Council also delayed. We believe that an intermediary “yellow card” measure that could be applied by the Chief Finance Officer might have forced these councils to confront much earlier the seriousness of the problems facing them.
Paragraph Reference:
89
Government Response
A response document is linked to this report, dated 21 October 2021. Response attribution to this conclusion has not been verified. Read the response document ↗