Kirby Muxloe Parish Council failed to have effective arrangements for corporate government in place, according to a report from the Audit Commission.

The auditor found the council had inadequate arrangement in place to prepare its accounting statements and did not have an effective system of internal control. It also failed to comply with laws, regulations and codes of practice in a number of cases.

Auditor, Stephen Warren, said: ‘Good governance is central to the council’s ability to account for the proper use of public funds. In particular, the annual governance statement is a key mechanism by which the council can be held accountable to the public. But, making statements that are inaccurate, or unsupported by appropriate enquiry, undermines that accountability.

‘I am aware that the council operates in an environment of challenge and conflict. But in such an environment it is even more important that the council not only conducts its business in the right way, but also takes its responsibilities seriously and demonstrates to the public that it has done so.’

The report sets out a series of recommendations for the council including the development of robust arrangements around governance and improved training for councillors and officers.