Intervention at Sandwell Metropolitan Borough Council
This page collates all the publications relating to the value for money governance review and best value intervention at Sandwell Metropolitan Borough Council.
In August 2021, the Council’s external auditors, Grant Thornton, initiated a value for money governance review into Sandwell’s arrangements for securing economy, efficiency and effectiveness in its use of resources.
Grant Thornton sent their report to the Council in December 2021. The report provides evidence that Sandwell Metropolitan Borough Council has failed to comply with its best value duty.
On 18 January 2022, Minister Kemi Badenoch confirmed in a written ministerial statement that after due consideration, the Secretary of State was minded to use his powers under the Local Government Act 1999 to intervene at the Council. The statement set out the Secretary of State’s decision and invited representations from the Council and other interested parties by 11 February 2022.
Following considerations of these representations, on 22 March 2022 Minster Kemi Badenoch confirmed in a written ministerial statement that the Secretary of State had appointed commissioners to the council and told the council to agree and implement an improvement plan.
On 1 December 2022, Minister Lee Rowley confirmed in a written ministerial statement that he was publishing the Commissioners’ first report that had been received on 20 June 2022. In this, they describe the improvements they have seen so far and the challenging improvement journey the Council is facing. The Minister also wrote to the Commissioners to thank the Commissioners and acknowledge the work to be done.
On 16 March 2023, Minister Lee Rowley confirmed he was publishing the Commissioners’ second report on progress of the intervention (submitted on 20 December 2022). The Commissioners report on the improvements they have seen at the Council since June 2022 and comment on follow up reviews conducted by Grant Thornton, CIPFA and the Local Government Association. The Commissioners also confirm the Council’s appointment of a permanent Chief Executive. The Commissioners submitted an addendum to the report to account for the CIPFA review being finalised after the report was submitted.
Minister Lee Rowley wrote to thank the Commissioners and recognise the challenges that remain.
On 27 July 2023, Minister Lee Rowley confirmed he was publishing the Commissioners’ third report on the Council’s improvement progress, along with the Council’s own report on its improvement plan and Minister Rowley’s response to the Commissioners. In their third report, the Commissioners signal their beginning to step back from the Council and have challenged Sandwell to demonstrate its ability to take forward its improvement independently. In his response Minister Rowley has confirmed his full support for the Commissioners’ decision to do so.
On 7 March 2024 the Minister for Local Government published the fourth report from Sandwell Council’s Commissioners, providing an update on the progress of the intervention.
The Secretary of State has carefully considered the findings and evidence presented in the Commissioners’ report, together with other relevant information. It is clear the Council have continued to make significant changes, and that there has been considerable progress since their third report. Ministers are pleased that Commissioners view the Council now as more resilient, with improvement more embedded in the culture and continuous improvement now sustainable. This is supported by the follow up review by external auditor, Grant Thornton (PDF, 1.25 MB), and the Council’s own report on its progress.
Having considered the evidence provided, the Secretary of State agrees with the Commissioners’ assessment that the Council is now meeting its Best Value Duty; as such the intervention will formally end on 22 March 2024 when the Directions expire.
Documents
Updates to this page
Last updated 7 March 2024 + show all updates
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Added Commissioner's fourth report; ministerial response; letter to the leader of the council; and letter to the chief executive.
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Added commissioner's third report; ministerial response; and letter from the leader of the council.
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Added commissioner's second report; ministerial response; and letter from the leader of the council.
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Added Commissioners’ first report; added ministerial response to the report.
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First published.