BS1033 Local Government – Continuity and Change

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

2. 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/

3. 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

4. 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’

5. 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

6. 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

7. 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

8. BS1033 Local Government – Continuity and Change5. Modernising Local Government – Best Value Audit Commission reports that…

9. Changing gear Paul Kirby - Acting Head of Inspection Peter Thomas - Associate Director, PSR

10. Changing 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?

11. key evidence key arguments key conclusions key lessons

12. How well are councils performing? • The evidence • Public satisfaction • Performance indicators • Inspection findings

13. . . . 21% . . . . 19% Signs that the decline in public satisfaction is on the turn

14. Encouraging signs of improvement in BVPIs • 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

15. 37% of services are good or excellent... 55 % 35 % 8% 2% Inspection star ratings

16. Improvement judgements 50% are likely to improve...

17. 42% 65% Improvement judgements … but fair/poor services less likely to improve

18. There are significant differences between services • education and social services 4 • housing, cultural, environmental ? • poorest services least likely to improve 7 and for different councils • Welsh and district councils less well set • new unitaries doing better

19. Why do some improve but not others? • The evidence • Views of councils • BVPPs and BVRs • Inspection and audit findings

20. Deciding what to improve BVR selection and scoping is key - • key lesson learned • less reviews • greater proportion of cross cutting BVRs • but challenge remains hard

21. Working out how to improve • good progress on consultation • little progress on compete • bogged down in compare • need to maintain challenge throughout

22. Implementing improvements Councils say they are coping well • easy to get approval • unless deciding between priorities • hard to integrate with budget process

23. Implementing 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?

24. 54% coping 22% doing well 24% hard going How are councils doing overall?

25. 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 patterns

26. Inspections suggest two-thirds are coasting/poor-performing 51% coasting 28% striving 5% top 16% poor based on scores for 77 councils

27. Do inspection and audit help? • The evidence • MORI survey • Views of inspectors • Others’ research

28. 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”

29. Are inspection and audit useful? • audit: 69% satisfied • inspection: 71% members satisfied, 79% members find it useful officers less happy: 58%/59% •  score: 77% of members agree/62% of officers • improvement judgement: 70% of members agree/49% officers

30. evidence ? credible inspectors? Views of inspection (2) challenges 4 speaks to local people 7

31. Audit best meets the needs of those struggling • Inspection most useful to those who have responded well Is BV and external review proportionate to risk?

32. Is there enough advice and 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?

33. Changing gear

34. Raising the game • Follow the best • Right challenge in the right places • More competition • Higher aspirations

35. Differentiation - not one size fits all

36. 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

37. Government action • One plan • One dialogue • Differentiate • One assessment

38. 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 Integrated performance planning BVPP Annual Report Card LPSA Statutory Plans

39. Summary • More challenge • Councils are getting better - butpace and scale of change disappointing • Big opportunities for improvement • Councils need to have higher aspirations • Commission - listened and learnt • Government needs to simplify regulation