Guildford Borough Council’s senior management were ‘unaware’ of a multi-million-pound overspend on a housing contract but should have noticed a series of ‘red flags’, investigation concludes.
A review last May of the council's housing and best value governance by senior officers' group Solace uncovered a series of risks, potential fraud, and a £13.5m overspend on a housing contract.
A new investigation was commissioned by Guildford and Waverley BCs aimed at establishing ‘who knew what, when, and what actions were taken, or should have been taken’ to secure compliance and deliver best value.
Conducted by the law firm Heminsley Law and published today, the investigation report concludes that senior management and those responsible for housing were ‘unaware’ of the overspend.
However, it lists what it describes as ‘red flags’, such as conflicts of interests and allegations of fraud in 2022, that it says should have been visible to senior management and Guildford’s Corporate Management Board.
Guildford BC leader Cllr Julia McShane commented: ‘We recognise the importance of this investigation to understand what went wrong in the past and make meaningful changes to ensure a stronger future.
‘Our residents deserve a council that delivers best value for them. Our priority is to do the right thing, not the easy thing, for the benefit of our residents and businesses.’
