Issue - meetings

Risk management - Q1 2021/22

Meeting: 28/09/2021 - Audit Committee (Item 20)

20 Risk management - Q1 2021/22 pdf icon PDF 259 KB

      i.        To note the Quarter 1 update on risk management provided by the report and associated annexes.

 

    ii.        To note the recommended closure of the strategic risk on ‘Reform of the planning system’ (SR11) as detailed in the report and in Annex 4.

 

   iii.        To note the recommended opening of a new strategic risk on ‘Planning system reform’ as detailed in Annex 5.

Additional documents:

Minutes:

Councillor Lewanski, Portfolio Holder for Corporate Policy and Resources, introduced the item stating that this report provided an update on risk management in Q1 2021/22.

 

Annex 1 of the report provided an update on all strategic risks, including their rating and a summary of the key updates.

 

In Quarter 1, one strategic risk has been identified for closure:

 

·         The risk SR11 – ‘Reform of the Planning System’ was recommended for closure as the Government’s plan to reduce the threshold for the provision of affordable homes had now been dropped. This therefore changed the implication of this risk and necessitated its closure.            

 

However, to reflect the ongoing risk associated with broader planning reform, a replacement strategic risk was proposed:

 

·         The new risk ‘Planning system reform’ reflected the latest implications of the Government’s proposed reforms to the planning system, as detailed in the ‘Planning for the Future’ White Paper. Additional detail was available in annex 5 of the report.

 

As well as receiving an update on strategic risks, the Committee also received updates on red rated operational risks.

 

At the end of Q1 there were two red rated operational risks. Additional detail on red rated operational risks was provided in the part 2 exempt annex and in annex 3.

 

Due to meeting scheduling limitations, this report was considered by the Executive in advance of the Audit Committee on 16 September. The Executive approved the closure of the previous planning risk and the reopening of a new risk to reflect the current implications of the risk.

 

It was stated that any observations or recommendations made by the Audit Committee would be reported to the relevant Executive member and, if required, to the following meeting of the Executive.

 

There was a general question regarding the composition of the risk register and why the financial activities (including companies/commercial ventures) of the Council were not within this, and Horley Business Park was given as an example. In response it was stated that the Chair of Overview and Scrutiny had raised this as an issue at the Executive. This was being looked into by the Portfolio Holder, Councillor Archer, to look at showing Horley Business Park as a strategic risk on the register however there were commercial sensitivities to consider. The Committee concurred that more of a general risk to the risk register should be added around commercial ventures. The Head of Corporate Policy stated that commercial ventures formed part of SR2, which focused on the overall financial sustainability of the Council.

 

In respect of SR5, it was noted that the Council had not yet received a response to its “Levelling Up” bid.

 

In response to a question asking why broader items that were out of the Council’s control were included in the risk register, the Head of Corporate Policy stated that despite the Council not having direct control over employment in the borough for example, unemployment had implications on Council services and its financial position. The Council was able to support businesses in the area and  ...  view the full minutes text for item 20


Meeting: 16/09/2021 - Executive (Item 30)

30 Risk management - Quarter 1 2021/22 pdf icon PDF 259 KB

Portfolio Holder for Corporate Policy and Resources.

 

Additional documents:

Decision:

RESOLVED:

 

1.    To note the Q1 update on risk management provided by the report and associated annexes.

 

2.    To approve the closure of the strategic risk on ‘Reform of the planning system’ (SR11) as detailed in the report and in Annex 4.

 

3.     To approve the opening of a new strategic risk on ‘Planning system reform’ as detailed in Annex 5 to the report.

Minutes:

The Executive Member for Corporate Policy and Resources, Councillor Lewanski, introduced the report which provided an update on risk management in Quarter 1 of 2021/22. Annex 1 of the report provided an update on strategic risks.

 

Councillor Lewanski explained that SR11 – Reform of the Planning System was recommended for closure as the Government’s plan to reduce the threshold for the provision of affordable homes had been dropped. Further detail was included in annex 4 of the report.

 

However, a new risk, Planning System Reform, was proposed to reflect the latest implications of the Government’s proposed reforms to the planning system, the details of which were included in annex 5 of the report.

 

It was identified that at the end of Quarter 1, there were two red rated operational risks, and details of those were included in the exempt annex 2 and in annex 3.

 

Councillor Lewanski explained that the report would be considered by the Audit Committee at its meeting on 28 September, with any observations made to be reported to the relevant Executive member.

 

The Leader of the Council explained that there was exempt information relating to this item. Item 7 was adjourned so that the exempt information could be considered under item 11.

 

During the exempt discussion, there was consideration of a further proposed strategic risk.

 

Following the exempt discussion, the Executive returned to the recommendations in item 7 and;

 

RESOLVED:

 

1.    To note the Q1 update on risk management provided by the report and associated annexes.

 

2.    To approve the closure of the strategic risk on ‘Reform of the planning system’ (SR11) as detailed in the report and in Annex 4.

 

3.     To approve the opening of a new strategic risk on ‘Planning system reform’ as detailed in Annex 5 to the report.