Government decides against reissuing best value notice for Yorkshire council
The Government has decided not to reissue a non-statutory Best Value Notice handed to the City of Bradford Metropolitan District Council last year, in light of improvements in the relationship between the local authority and a children's services trust.
In a letter to council chief executive Dr Lorraine O'Donnell, Deputy Director, Local Government Finance Suzanne Clarke also welcomed efforts to establish an independent improvement panel and a recent CIPFA report that showed progress.
However, Clarke said the Government remains concerned about financial challenges facing the local authority and its "likely need for future years" of government support.
The department issued its Best Value Notice in February 2024 over concerns regarding the council's financial resilience and control.
It also expressed concerns regarding its capacity to transform both the council and the Bradford Children and Families Trust (BCFT) as a result of poor working relationships between the two.
The notice requested that Bradford establish an independent advisory panel and produce an improvement and transformation plan to implement recommendations from a 2023 Chartered Institute for Public Finance and Accountancy (CIPFA) review.
It also requested that the council engage with the department to provide assurance of its progress and ability to manage its risks.
In the same month, Bradford was granted exceptional financial support from the Government that amounted to £80m for 2023-24, and £140m for 2024-25.
Today's letter reported that Bradford has "worked positively" with the department and gained external scrutiny and challenge over the last 12 months.
Clarke highlighted the council's efforts to set up an independent improvement panel to support the implementation of CIPFA's recommendations and oversee progress.
"Notably, the relationship between the council and BCFT has improved and trusting working relationships have been established at all levels", she added.
The Ministry also highlighted a recent CIPFA review – which was carried out as a condition of Bradford receiving exceptional financial support – that noted progress at the council.
"In light of the above and based on the available evidence, ministers are reassured as to Bradford Council's capacity to comply with its Best Value Duty under the Local Government Act 1999 and the Notice will not be reissued at this time", the letter said.
However, the ministry added that it remains concerned about the "significant financial challenges" the council faces and "the likely need for future years of government support to enable it to become financially sustainable".
As a result, the ministry asked the council to continue to engage regularly with the department to provide assurance of the steps being taken to manage its financial position.
Adam Carey