Commissioners appointed at Nottingham despite objections from council
Two commissioners have been sent into Nottingham City Council under directions from the Government aimed at helping the financially vulnerable council meet its best value duty.
As part of directions made under section 15(5) and (6) of the Local Government Act 1999, the Secretary of State for Levelling Up, Housing and Communities, Michael Gove, has nominated Tony McArdle as Lead Commissioner and Margaret Lee as Commissioner for Finance. A Commissioner for Transformation will be appointed at a later date.
The directions come four months on from the issuance of Nottingham's section 114 notice and in spite of a request from the council that commissioners not be sent in.
In a written representation ahead of Gove's decision today, Nottingham asked that the Government enhance the powers of an Improvement and Assurance Board that was established in 2021 instead of appointing commissioners.
However, a document released today detailing the directions said that Gove is "confident" that the council is failing to comply with its best-value duty.
The directions enable the commissioners to exercise all functions associated with the governance, scrutiny and transparency of strategic decision-making at the council. They also give the commissioners power over functions associated with financial governance.
In addition, the commissioners have control over the council's operating model and redesign of its services to achieve value for money and financial sustainability, as well as functions for the development, oversight and operation of a performance management framework for senior officers.
They can also appoint or dismiss statutory officers.
"The Secretary of State considers that most decisions should continue to be made by the Authority," the document adds.
It continues: "Commissioners will uphold proper standards and due process and recommend action to the authority. The Secretary of State's intention is that the powers he is providing to the Commissioners be used to ensure that the authority takes the necessary steps to achieve the best possible outcome for Nottingham residents and the public purse."
Nottingham must now appraise and agree on an improvement plan within three months and then report to Gove at six monthly intervals on progress in implementing the plan.
The commissioners, who will replace with immediate effect the Improvement and Assurance Board chaired by Sir Tony Redmond, will report to Gove within the first six months of the intervention and at six-month intervals afterwards.
Nottingham issued its section 114 notice in November 2023 due to the rising costs of its children's and adults' social care services, homelessness and inflation.
The council is currently consulting on £35 million of proposed cuts, including a proposed cut of 500 council jobs as a result of its financial position.
Cllr David Mellen, Leader of Nottingham City Council, said: "Our preferred option was to continue to work with the Improvement and Assurance Board. We feel that significant progress was being made across the council.
"However, we are committed to working constructively and collaboratively with the Commissioners to tackle Nottingham's current challenges."
Mel Barrett, the council's Chief Executive, said: "The council is committed to working in collaboration with the Commissioners to continue our improvement journey at pace, reshaping the organisation to put the authority on a stable financial footing, while delivering essential services for Nottingham residents within the resources that we have.
"Our wider transformation work is already well under way and the expert input and challenge from the Commissioners will be invaluable to our officers and councillors as they look to accelerate that process further."
Lead commissioner McArdle was chief executive of Lincolnshire County Council and Wellingborough Council and has experience in multiple interventions, including as Chair of Croydon Council's Improvement Assurance Panel, lead commissioner at Northamptonshire Council and best value inspector at Thurrock Council.
Lee meanwhile worked at Essex County Council as Section 151 officer and has experience in interventions as Slough Council's former Finance Commissioner, finance lead on Croydon's Improvement and Assurance Board and finance lead for the best value inspection at Thurrock Council.
Adam Carey
