Agenda item
Trading Standards Annual Accounts 2014-2015
This report provides Members with information concerning forthcoming Joint Advisory Board meetings and the planned programme of reports to the Board.
Minutes:
TheBoardreceived areportfrom theHeadofRegulatory Services on the annual accountsfor2014/15.It wasnotedthat therewas anetsurplus of £57,205,largelyduetoa widermanagementrestructure inBrentCounciland a resultantsalariessaving.Withinthatnet surplus,therehadbeena shortfall in theProceedsofCrime (POCA) incomeasonly £120,000ofthebudgeted £250,000hadbeenreceived.
Memberswere advisedthata reportwouldbe submittedto afuturemeeting on workcurrentlybeingundertakento reviewwhether thebudgetarytarget for proceedsofcrimework wassustainable.
In responseto questions,it wasreportedthat:
• Theaccountsonlyshowedthree quarterlypayments forPOCA, asthe fourth quarterly paymentfromthe HomeOffice would notbe received until theend ofthefinancial year.Paymentsmadeon thelast dayof March wereaccrued to2015/16.Thepaymentswere difficultto predict inany givenperiodas thecourtcoulddecideto spreadthepayments;
• Planningwas alargesource ofcasesandTradingStandardsreceived a share of the proceeds to cover financial investigation costs. Paymentswere distributed,inaccordancewithgovernment guidelines, to theprosecutor,financialinvestigator,Court Serviceand50% to the Treasury;
• Dueto thesurplus arising from vacancies in 2014/15,the lower net POCAreceiptsdidnotpresent animmediatebudgetary issuebut there were concernsastolong termviability should netPOAC receipts fall belowbudget againin2015/16.Theconsortiumhad afinancialreserve that wasa little below its optimum level –two yearsof budgetednet POACreceipts.At 2014/15levelsof netPOCAreceipts,thereserve wouldnot beexhaustedforfour years.A reportwouldbe submittedto afuturemeetingon theviabilityof POCA arrangements,togetherwith optionsfor strengtheningthe position,whichmightincludeundertaking POCA investigationsforotherCouncils,both intradingstandardsand other regulatoryservices;
• Trading Standards had sufficient legal andcourt powers to obtain information fromHMRC butittooktime, particularlyfor complex. Investigations. Planning cases weresometimes moreproductive for POAC recoveryas theyusually involved afixed asset, that is the property;
• Workundertakingfinancialinvestigationsfor auditand investigationfor benefitfraudhad stopped,sincebenefithadbecometheresponsibility ofthe Government’sDepartmentofWorksandPensions.
TheChair stressed thatthe reporthadnot fullyreportedthe netbenefits to both councils arising from theproportion of POCA receipts recovered for council prosecuting teams.This meantthat,even whenonly breaking even, trading standards wasmaking moneyfor otherparts of theCouncils, for examplethrough planningcases. ThePOCA Strategyand publicityacted asa deterrent.
RESOLVED:Thatthereport benoted.
Supporting documents: