Accessibility tools

We have installed ReadSpeaker’s webReader, which allows visitors to instantly convert online content to audio on our website.

Click on the icon above to try this out, and take advantage of the full range of useful webReader features by clicking the link below.

Readspeaker website

Accessibility statement

This accessibility statement applies to www.audit.wales. This website is run by Audit Wales. We want as many people as possible to be able to use this website.

View accessibility statement

Reporting accessibility problems

We’re always looking to improve the accessibility of this website. If you find any problems not listed on this page or think we’re not meeting accessibility requirements, contact:

info@audit.wales

Significant loss to public purse due to unlawful activity and poor governance at community councils

14 October 2021
  • Unlawful activity and failure to exercise minimum standards of financial management and governance at Ynysawdre, Llangynwyd Middle and Abertillery and Llanhilleth Community Councils.

    The Auditor General for Wales has identified misuses of public money for personal gain in cases where councillors have failed to meet their responsibilities due to poor governance and financial management in his reports in the public interest issued today.

    Earlier this week, we issued public interest reports setting out how individual councils found themselves in a difficult position due to poor governance and financial management. In some extreme cases, the lack of proper governance can lead to significant losses to the public purse. Today, we report on 3 such instances.

    Our audit identified that both Llangynwyd Middle Community Council and Ynysawdre Community Council failed to adequately monitor financial positions and exercise expected minimum standards of financial management and governance. This failure allowed the former Clerk to both Councils to make illegitimate payments to herself amounting to over £116,000 over a period of 4 years. The councils failed to properly supervise and scrutinise these payments made by their former Clerk.  

    Councillors at Abertillery and Llanhilleth Community Council failed to properly scrutinise a gratuity and other payments to its former Clerk leading to a loss of over £27,000. Councillors also failed to ensure they had adequate arrangements in place to secure value for money when buying goods and services. Significant council failings meant that they did not meet legislative requirements in the management of financial affairs and in its duty to implement and maintain effective internal audits.

    The reports outline several recommendations to Llangynwyd Middle Community Council and Ynysawdre Community Council which are centred around:

    • Management of key accounting records
    • Review of internal controls
    • Scrutiny and review of delivery of Clerk responsibilities
    • Financial management and governance training
    • Recovery of unlawful payments
    • Appointment of internal auditor

    In the case of Abertillery and Llanhilleth Community Council, we recommend that the Council considers whether to seek recovery of the unlawful over-payments referred to in our report.

    ,
    Inadequate financial management and governance has led to the exploitation of council failings for personal gain by certain individuals and significant loss of public money. These 3 reports show just how important it is to have proper systems, controls and scrutiny in place in order to protect the public purse. I urge all 3 councils to take note of the recommendations we have made. Auditor General, Adrian Crompton
    ,

    Related Report

    Ynysawdre Community Council - Inadequate financial management and losses to the public purse

    View more
    ,

    Related Report

    Llangynwyd Middle Community Council - Inadequate financial management and losses to the public purse

    View more
    ,

    Related Report

    Abertillery and Llanhilleth Community Council - Unlawful payments and governance failings

    View more