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BS1033 Local Government – Continuity and Change
5. Modernising Local Government – Best Value
BS1033 Local Government – Continuity and Change5. Modernising Local Government – Best Value
The best summary is provided by:
http://www.ilam.co.uk/bestval/bvsumm.htm
Good source of information to get started:
http://www.idea.gov.uk/bestvalue/
BS1033 Local Government – Continuity and Change5. Modernising Local Government – Best Value
Best Value Management Framework…
•Establish authority wide objectives and performance measures
•Agree programme of fundamental performance review
•Undertake fundamental performance review
•Set and publish performance and efficiency targets
•Independent Inspection
•Areas requiring intervention
BS1033 Local Government – Continuity and Change5. Modernising Local Government – Best Value
Four important elements of reviews are:
Challenge – justify the service
Compare – with the best
Consult – engage with local communities
Competition – attempt to achieve ‘efficiency gains’
BS1033 Local Government – Continuity and Change5. Modernising Local Government – Best Value
Local Performance Plans
Need to be made in which authorities:
• Report on current performance
• Identify forward targets
• Comment on means to achieve the plans
BS1033 Local Government – Continuity and Change5. Modernising Local Government – Best Value
The Audit Commission will oversee systems of internal and external audit. External auditors will check:
• Whether performance and resource information is accurate
• Plans have been drawn in accordance with statutory requirements
• Plans are realistic
BS1033 Local Government – Continuity and Change5. Modernising Local Government – Best Value
In the event of failure then then the Secretary of State can require:
• An improvement plan to be drawn up
• An authority to accept external management help
• Services to be put out to competition
• Services to cease being provided by a local authority
• Responsibility transferred to another authority
BS1033 Local Government – Continuity and Change5. Modernising Local Government – Best Value
Audit Commission reports that…
Changing gearChanging gear
Paul Kirby - Acting Head of InspectionPeter Thomas - Associate Director, PSR
Changing gearChanging gear
1 The national report How well are councils performing? Why do some improve but not others? Have inspection, audit and be helped?
2 Changing gear What needs to change?
key evidencekey evidence
key argumentskey arguments
key conclusionskey conclusions
key lessonskey lessons
The evidence Public satisfaction Performance indicators Inspection findings
How well are councils performing?How well are councils performing?
Signs that the decline in public Signs that the decline in public satisfaction is on the turnsatisfaction is on the turn
21%21%
19%19%
..
.. ......
..
..
average performance against 75% of
BVPIs had improved gap between better and worse councils
narrowed for 75% of PIs the worst 25% of councils have improved
on almost all the indicators
Encouraging signs of improvement in BVPIsEncouraging signs of improvement in BVPIs
Inspection star ratingsInspection star ratings 37% of services are good or excellent...
55 %
35 %
2%8%
Improvement judgementsImprovement judgements50% are likely to improve...
Improvement judgementsImprovement judgements… but fair/poor services less likely to improve
42%
65%
between services education and social services housing, cultural, environmental ? poorest services least likely to improve and for different councils Welsh and district councils less well set new unitaries doing better
There are significant differencesThere are significant differences
The evidence Views of councils BVPPs and BVRs Inspection and audit findings
Why do some improve but not others? Why do some improve but not others?
Deciding what to improveDeciding what to improve
BVR selection and scoping is key - key lesson learned less reviews greater proportion of cross cutting
BVRs but challenge remains hard
Working out how to improveWorking out how to improve
good progress on consultation little progress on compete bogged down in compare need to maintain challenge
throughout
Implementing improvementsImplementing improvements
Councils say they are coping well easy to get approval unless deciding between priorities hard to integrate with budget process
Implementing improvementsImplementing improvements
Councils say they are coping well easy to get approval unless deciding between priorities hard to integrate with budget process
Inspectors concerns quality of action planning? commitment of people & resources? recommendations challenging?
How are councils doing overall?How are councils doing overall?
22% doing well
22% doing well24% hard
going24% hard
going
54% coping54% coping
Four ‘building blocks’… Four ‘building blocks’…
ownership of problems & willingness to change
a sustained focus on what matters
capacity & systems to deliver performance and
improvement
best value integrated with the day job
… … help identify typical patternshelp identify typical patterns
51% coasting
51% coasting
Inspections suggest two-thirds are Inspections suggest two-thirds are coasting/poor-performingcoasting/poor-performing
based on scores for 77 councils
16% poor16% poor
28% striving28% striving
5% top5% top
The evidence MORI survey Views of inspectors Others’ research
Do inspection and audit help?Do inspection and audit help?
Views of inspection (1)Views of inspection (1)
“[it needs] much more emphasis on how to improve and not to be told that we’re not doing very well”
“its too resource intensive”
“too much in-depth analysis of small services makes the cost-benefit questionable”
“quality of inspectors is variable”
“I’d like to see abolition of compulsory inspection of every service in favour of a risk-reward approach”
“they should inform us about best practice elsewhere so we can make improvements”
Are inspection and audit useful?Are inspection and audit useful?
audit: 69% satisfied
inspection: 71% members satisfied, 79% members find it usefulofficers less happy: 58%/59%
score:77% of members agree/62% of officers
improvement judgement:70% of members agree/49% officers
Views of inspection (2)Views of inspection (2)
challenges
evidence ?credible inspectors?
speaks to local people
Is BV and external review Is BV and external review proportionate to risk?proportionate to risk?
Response to bestvalue
% finding the BVPPaudit useful
% finding best valueinspection useful
‘Responding well’ 50% 72%‘Coping OK’ 68% 54%‘Struggling’ 83% 64%
Audit best meets the needs of those struggling Inspection most useful to those who have responded well
Is there enough advice and Is there enough advice and support?support?
A big investment in inspection what about support?
How should lack of capacity and willingness be tackled?
Is timing of external challenge is helpful? What about lessons from inspection and
sharing good practice?
Changing gearChanging gear
Raising the game Raising the game
Follow the best Right challenge in the right places More competition Higher aspirations
Differentiation - not one size fits all
Audit Commission action Audit Commission action
More challenge Differentiate audit and inspection Less focus on following reviews Clearer and stronger service
inspections Joined up audit and inspection Clearer information for local people
Government action Government action
One plan One dialogue Differentiate One assessment
Integrated performance planning
UNIFIED PLAN
• Negotiation on 100% of resources and performance including ‘top 12’ targets
• Single allocation of rewards and freedoms
• Targets tied to annual report card
• Move from multiple statutory plans to single dialogue
• Independent validation
LPSA
BVPP
Statutory Plans
Annual ReportCard
Summary Summary
More challenge Councils are getting better - but
pace and scale of change disappointing Big opportunities for improvement Councils need to have higher aspirations Commission - listened and learnt Government needs to simplify regulation