BS1033 Local Government – Continuity and Change 5. Modernising Local Government – Best Value

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/



















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


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’


Local Performance Plans

Need to be made in which authorities:

• Report on current performance

• Identify forward targets

• Comment on means to achieve the plans


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


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


Audit Commission reports that…

Changing gearChanging gear

Paul Kirby - Acting Head of InspectionPeter Thomas - Associate Director, PSR


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?


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

Documents

BS1033 Local Government – Continuity and Change 5. Modernising Local Government – Best Value