‘Insufficient progress’ made by council on transformation, says watchdog

South Ayrshire Council must move faster to transform its management structure and delivery of services, a watchdog has said.

An Accounts Commission report released on Thursday has raised a range of concerns about the council following recommendations made in 2021 to help the local authority recover from the pandemic.

The commission said: “We note the progress that the council has made in addressing the recommendations in our 2021 Best Value Assurance Report.

“We are concerned, however, that the pace of improvement has been slow. We acknowledge that external factors, including financial pressures and changes in political leadership, have contributed to this but these factors are not unique to the council.

“We are also concerned about the council’s transformation programme and the lack of progress since our 2021 report, particularly given the reliance on this to address the financial and service delivery challenges the council is experiencing.

“We note that the transformation programme has been refocused, and the number of projects reduced, but we now urge the council to move at pace to establish the expected cashable benefits and baseline activity for the programme.”

The report also raised concerns around the reporting of performance within the council and publicly and a lack of self-evaluation.

However, the commission added: “We are pleased to see that the council has effective financial management processes in place, has delivered balanced budgets, and has met its savings targets.

“We also welcome the council’s approach to medium and long-term financial planning.

“However, given the large budget gaps identified in its financial planning, we believe there should be clear alignment between the council’s budget and its strategic priorities for the 2024-25 financial year.”

Ronnie Hinds, interim chairman of the Accounts Commission, said: “We note the progress the council has made to address the recommendations in our 2021 report.

“But our latest report highlights the pace of improvement has been too slow, and we’re concerned about insufficient progress in delivering its transformation programme.

“The council must prioritise this and be clear about the anticipated financial savings and service benefits.

“Clear measures of progress against its key priorities are also needed, with accurate reporting to councillors and local communities.

“We will continue to monitor whether improvement is being made through our yearly audit reporting on the council.”

A spokesperson for South Ayrshire Council said: “Following publication of the Best Value in South Ayrshire Accounts Commission report, an action plan has been agreed by councillors and we are progressing with the report’s recommendations.”