Senior Bristol City Council officers making decisions involving taxpayers’ money are failing to declare financial interests that could be in conflict with their work, councillors heard. Business activities and known directorships outside of roles in the local authority, which could benefit employees or their relatives, are not being submitted by many staff every two years as required, the audit committee heard.
The flaws in the system were uncovered during a review of declarations and conflicts of interests, gifts and hospitality by the organisation’s fraud prevention unit. Bristol City Council says work is underway to strengthen the process and provide clear information for officers who need to declare an interest.
Louise Lee, audit manager in the counter-fraud and investigations team, told the committee: “We have carried out a review and identified a number of concerns. We are currently engaged with management to review the actions required as a result of that and we are preparing some training to be delivered on managing conflicts of interest.”
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A report to members on Monday, June 27, said: “A fraud prevention review has been completed covering: the declaration of interest process and whether conflicts are being properly managed; and arrangements for managing gifts and hospitality inducements. The key findings are that declarations of interest are not being obtained biennially as required by policy, ‘type A’ declarations are not centrally recorded and the code of conduct requirements regarding conflicts of interest are not sufficiently robust.”
‘Type A’ declarations are of a financial or other interest that could lead to the declaree, or a family member, benefiting from a decision. It said: “A draft report has been issued giving a ‘limited assurance’ opinion in respect of the declaration and management of conflicts of interest.”
The report said this was based partly on two-yearly declarations by officers on pay grades of about £45,000 or more “not being routinely requested as per policy” and “known directorships not always having been declared by employees and members”. Committee member and Bishopsworth ward Tory Cllr Richard Eddy said: “I appreciate there are not many councillors – there are only 70 of us plus a mayor – but I’ve already filled in my annual declaration of interests and conflicts of interest form and sent it back to Bristol City Council and Avon Fire Authority.
“I am concerned about the lack of participation by its staff members of the similar biennial exercise. How can we improve this?”
A council spokesperson said afterwards: “Senior officers at the council have been made aware of the need to strengthen the process and provide clear information for those who need to declare an interest. A set of management actions are being drawn up alongside arranging training to be rolled out across the council at a later date.
“These efforts to strengthen our processes will continue throughout the remainder of the financial year.”
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