Poor governance threatens local government partnerships

The Audit Commission has warned that the success of partnerships
between local government, the health service and charities could be
threatened by poor financial governance, writes Lindsay
Clark.

The commission found that 61 per cent of local government
partnerships do not have comprehensive, formal partnership
agreements in place to establish the governance of those
partnerships, the Audit Commission report found. 

The lack of formal governance arrangements for partnerships may
inhibit the achievement of the partnerships’ objectives and
increase the potential for breakdown in governance arrangements and
controls, according to the report.

Steve Bundred, Chief Executive of the Audit Commission, said,
“Timely and accurate accounts underpin effective service
delivery, improvement, and accountability for public money. So it
is disappointing that managers in both local government and the NHS
are still not taking seriously enough the need for better financial
reporting.”