Recommendation 15

There are indications that some museums and galleries may not have the financial management capability to manage future risks. For example, many have experienced significant churn in their senior financial leadership in recent years, while some have struggled to produce their annual accounts for audit on a timely basis. Weaknesses in this capability can contribute to 31 Qq 10-11 32 C&AG’s report, para 17 33 Qq 8-10 34 C&AG’s report, paras 18 and 3.23 35 Qq 16-17 12 breaches in financial control.36 We therefore asked whether the Department was planning any changes in this area. The Department replied that it does not currently monitor museums’ and galleries’ financial management capability as this is the responsibility of the museums’ and galleries’ accounting officers. It assured us that the museums and galleries were very focussed on their financial capability and that it was very actively engaged with them on this. It also told us that it had provided support when it had particular concerns, for example lending the museums and galleries members of its own finance team and working closely with them to provide the information required for its own annual report and accounts. Its finance team also met with new Finance Directors. The Department pointed out that a number of the museums’ and galleries’ own trustees and chairs had a financial background.37 36 C&AG’s report, paras 15 and 3.17 37 Qq 14-15 13 2 Department support to increase the sector’s resilience Common challenges to the sector