Accounting watchdog opens investigation into two ex-employees of borough council

The Financial Reporting Council (FRC) has confirmed that it has opened an investigation regarding the conduct of two individual accountants in relation to Woking Borough Council’s operations and investment activities.

The FRC said the investigation would look at the individuals’ compliance “with governance, reporting, regulations and professional standards in respect of Woking Borough Council’s operations and investment activities for the financial years ended 31 March 2017 to 31 March 2023”.

The individuals are no longer employed by the council.

The decision to open an investigation was made at a meeting of the FRC’s Conduct Committee on 17 December 2024.

The investigation will be conducted by the FRC’s Executive Counsel.

Commissioners were sent in to tackle Woking’s financial and governance issues after it issued a section 114 notice in June 2023.

The section 114 notice came in response to a budget deficit of more than £1bn, a debt of £1.8bn, and just £16m in core funding available in the 2023/24 financial year.

Cllr Ann-Marie Barker, Leader of Woking Borough Council, said: “Since the council fully accepted the recommendations of the independent Grant Thornton public interest report, Government-appointed Commissioners overseeing Woking Borough Council’s financial recovery have been liaising with relevant professional bodies. As a result, the Financial Reporting Council (FRC) has confirmed investigations into the conduct of two former employees. 

“Woking residents deserve complete transparency and for those responsible for the borough’s financial issues to be held accountable. We will therefore do whatever we can to assist the FRC in their investigations.”