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Annual Improvement Report

Gwynedd Council

Issued: February 2012 Document reference: 163A2011 About the Auditor General for Wales

The Auditor General is independent of government and is appointed by Her Majesty the Queen. He leads the Wales Audit Office and is held accountable by the Public Accounts Committee of the National Assembly for the Wales Audit Office’s work.

The Auditor General is the external auditor of the Welsh Government and its sponsored and related public bodies, the Assembly Commission and National Health Service bodies in Wales. He also appoints the external auditors of Welsh local government bodies, including unitary authorities, police, probation, fire and rescue authorities, national parks and community councils. The Auditor General’s appointed auditors are responsible for the annual audit of the majority of public money spent in Wales, including the £15 billion of funds that are voted to Wales annually by the Westminster Parliament. Nearly £5.5 billion of this funding is passed by the Welsh Government to local government in the form of general and specific grants. Local government, in turn, raises a further £2.1 billion through council tax and business rates.

As well as carrying out financial audit, the Auditor General’s role is to examine how public bodies manage and spend public money, including achieving value in the delivery of public services. The Wales Audit Office aims to make public money count, by promoting improvement, so that people in Wales benefit from accountable, well-managed public services that offer the best possible value for money. It is also committed to identifying and spreading good practice across the Welsh public sector.

Huw Vaughan Thomas, Auditor General for Wales, was supported by Huw Lloyd Jones and John Roberts and colleagues under the direction of Alan Morris in conducting the Improvement Assessment and producing this report.

2 Annual Improvement Report - Gwynedd Council Contents

Summary, recommendations and proposals for improvement 4 Detailed report Introduction 8 The Council’s improving planning and its increasing readiness to reflect on its performance suggest that it is well placed to improve on the steady progress made in 2010-11 and to better demonstrate the impact of its activity 9 The Council’s planning for 2011-12 is much improved and is underpinned by effective financial management and corporate arrangements that are sound in most respects 9 There was steady progress in 2010-11 in improving key service areas but the impact of the Council’s work is not yet apparent in aspects of social services and in the development of sustainable communities 17 The Council is making progress slowly to modernise its social services but much work remains to ensure that cases are managed and support delivered in a consistent and timely manner 17 The Council continues to take difficult decisions in order to modernise its educational provision but too many secondary schools are producing GCSE results that compare unfavourably with similar schools elsewhere in Wales 21 The Council has made steady progress in promoting the economic and environmental sustainability of communities in Gwynedd but it is too early for the Council to be able to demonstrate the impact of its effort 23 There are promising signs that the Council is developing its capacity to reflect on its performance and to modify its planning accordingly 26

Appendices Appendix 1 Status of this report 29 Appendix 2 Useful information about Gwynedd and Gwynedd Council 30 Appendix 3 Annual Audit Letter to the Members of Gwynedd Council 31 Appendix 4 Gwynedd Council’s improvement objectives and self-assessment 34 Summary report

1 Each year, the Auditor General must report on 4 We found that the Council’s planning for how well Welsh councils, fire and rescue 2011-12 is much improved and is authorities, and national parks are planning underpinned by corporate arrangements that for improvement and delivering their services. are sound in most respects. In particular, we Drawing on the work of the Wales Audit Office found that: and relevant Welsh inspectorates, this report presents a picture of the extent to which • the ‘Transforming the Council’ programme Gwynedd Council (the Council) has improved is beginning to deliver significant over the last year, and its arrangements for improvements in the Council’s planning securing further improvement. The report is in and performance management; three main sections which cover the planning, • the Council has prepared thoroughly for delivery and evaluation of improvement by the the changes that lie ahead in its Council. governance arrangements; 2 The first section of the report focuses mostly • the Council has been active in seeking to on the Council’s forward planning of its work pursue opportunities to collaborate at both for the financial year 2011-12 and the regional and sub-regional levels; and arrangements that underpin that work. The • the Council continues to deal effectively second section, the delivery of improvement, with the financial challenges facing local looks back on the Council’s performance in government. priority areas during 2010-11. However, we have also referred to more recent 5 We also found that there was steady progress performance in those areas such as in 2010-11 in improving key service areas but education where published data is available. the impact of the Council’s work is not yet In the third section of this report, we comment apparent in aspects of social services and in on the way the Council evaluates its the development of sustainable communities. performance, with particular emphasis on the 6 In relation to the work of supporting Council’s self-assessment of its work in vulnerable people, we found that the Council 2010-11. is making progress slowly to modernise its 3 Overall the Auditor General has concluded social services but much work remains to that the Council’s improving planning and its ensure that cases are managed and support increasing readiness to reflect on its delivered in a consistent and timely manner. performance suggest that it is well placed to Social services for adults made some improve on the steady progress made in progress during 2010-11 but much work 2010-11 and to better demonstrate the impact remains to secure a culture that provides of its activity. choice and independence for local people on a consistent basis. Social services for children struggled to meet some national standards and statutory requirements in terms of the timeliness of assessments and subsequent reviews.

4 Annual Improvement Report - Gwynedd Council 7 We found that, in its work to help people develop, the Council continues to take difficult decisions in order to modernise its educational provision but too many secondary schools are producing GCSE results that compare unfavourably with similar schools elsewhere in Wales. The Council is active in seeking to ensure that young people have the necessary skills and attitudes to be able to enter the labour market.

8 The Council has made steady progress in promoting the economic and environmental sustainability of communities in Gwynedd but it is too early for the Council to be able to demonstrate the impact of its effort.

9 Finally, the report sets out our views on the Council’s own assessment of its performance and arrangements. We concluded that there are promising signs that the Council is developing its capacity to reflect on its performance and to modify its planning accordingly.

5 Annual Improvement Report - Gwynedd Council Recommendations and proposals for improvement

10 There are no formal recommendations but the following proposals for improvement are made to the Council to support improvement.

Proposals for improvement

P1 In setting its improvement objectives for 2012-13, the Council should ensure better consistency in the quality of outcome measures across its six Programme Plans.*

P2 In producing its self-assessment of its performance in 2011-12, the Council should: • link explicitly its analysis of performance data to its improvement objectives; and • include a more balanced analysis in its summary of its self-assessment.

P3 The Council should seek ways of increasing the pace of change in its planning and delivery of social services, with particular focus on improving the extent to which it meets national standards in terms of the timeliness of assessment and reviews.

*This proposal for improvement was first made to the Council in September 2011.

6 Annual Improvement Report - Gwynedd Council Detailed report

7 Annual Improvement Report - Gwynedd Council Introduction

11 This report was prepared by the Wales Audit • make formal recommendations for Office on behalf of the Auditor General for improvement – if a formal Wales. On page 2 you can find a brief recommendation is made the Council must explanation of what the Auditor General does. respond to that recommendation publicly within 30 days; and 12 Under the Local Government (Wales) Measure 2009 (the Measure), the Auditor • make proposals for improvement – if we General must report each year on how well make proposals to the Council, we would Welsh councils, fire and rescue authorities, expect it to do something about them and and national parks are planning for we will follow up what happens. improvement and delivering their services. 14 We do not undertake a comprehensive Appendix 1 provides more information about annual review of all the Council’s the Auditor General’s powers and duties arrangements or services. The conclusions in under the Measure. With help from Welsh this report are based on our cumulative and inspectorates, Estyn (for education) and the shared knowledge and the findings of the Care and Social Services Inspectorate for work we have prioritised to be undertaken this Wales (CSSIW), and from the Welsh year. Language Board, we have brought together a picture of what each council or authority in 15 We want to find out if this report gives you the Wales is trying to achieve and how it is going information you need and whether it is easy to about it. This report also sets out the progress understand. You can let us know your views the Council has made since the Auditor by e-mailing us at [email protected] or writing General published his last Annual to us at 24 Cathedral Road, Cardiff, Improvement Report, drawing on the CF11 9LJ. Council’s own self-assessment.

13 Throughout the report, we set out what the Council needs to do to improve its services. Given the wide range of services provided and the challenges facing the Council it would be unusual if we did not find things that can be improved. The Auditor General is able to:

• recommend to Ministers of the Welsh Government that they intervene in some way; • conduct a special inspection and publish the report with detailed recommendations;

8 Annual Improvement Report - Gwynedd Council The Council’s improving planning and its increasing readiness to reflect on its performance suggest that it is well placed to improve on the steady progress made in 2010-11 and to better demonstrate the impact of its activity

The Council’s planning for 2011-12 is • Some progress has been made towards much improved and is underpinned by ensuring that members are aware of the effective financial management and findings and recommendations contained in regulators’ reports. The Council has corporate arrangements that are sound in decided that the register of regulators’ most respects reports could be submitted, as a matter of course, to either the Principal Scrutiny 16 In September 2011, the Auditor General wrote Committee or to the Audit Committee. to the Council’s Chief Executive. The letter • New management structures, processes included: and techniques have all contributed to an • a summary of the Council’s progress on increasing use of outcome measures in areas for improvement and some of the Council’s plans. Progress is, recommendations identified in the 2010 however, uneven as the quality of the Corporate Assessment; measures and targets both within and between some of the business plans, • the Auditor General’s assessment of the including the Community Strategy, Three Council’s compliance with its statutory Year Plan and Programme Plans, is obligations to make arrangements to variable. secure continuous improvement; and • The Council has recognised that the roles • a brief commentary on relevant issues had and responsibilities of scrutiny committees emerged since we issued the 2010 Annual will need to alter in response to Improvement Report in January 2011, forthcoming changes in the Council’s including comments on how the Council governance and management was addressing financial challenges. arrangements. Work is underway so that 17 The Auditor General’s September letter the necessary changes can be concludes that the Council has made implemented after the May 2012 Local progress in addressing all five areas for Government elections. improvement that we had included in the • The Council has made progress in 2010 Corporate Assessment. In summary, we identifying capacity within its human reported that: resources (HR) service to support services in developing workforce plans. The • There has been good progress in Council has increased its HR capacity establishing and maintaining a register of through the creation of two additional regulators’ reports. posts, increased emphasis on developing the skills of managers, and increased collaboration with other North Wales councils.

9 Annual Improvement Report - Gwynedd Council 18 The letter stated that the Auditor General was The ‘Transforming the Council’ programme is satisfied that the Council was discharging its beginning to deliver significant improvements duties under the Local Government (Wales) in the Council’s planning and performance Measure 2009, and that the Council was likely management to comply with the requirements of the Measure during the 2011-12 financial year. 20 In the 2010 Annual Improvement Report, we Four main reasons contributed to our commented that the improvement objectives conclusion. We found that: for 2010-11 were not clear enough in setting out the improvements that citizens should • the Council continues to address the need expect or robust enough in terms of how well for change, delivering strong and effective ‘success’ in each objective was defined. As a financial leadership and demonstrating result, we included a proposal for commitment to effective public improvement in our report, suggesting that, engagement; ‘In preparing its Improvement Objectives for • the Council has established six 2011-12, the Council should: programme boards that oversee a range of projects designed to deliver • increase the accessibility of the objectives transformational change, although we and the associated Improvement Plan to have some concerns about whether there interested stakeholders; is currently sufficient capacity and • define its Improvement Objectives so that capability to deliver such a large and they are: complex programme of projects; ‒ clear – setting out the visible • the Council has made progress in improvements that citizens can expect; addressing the areas for improvement we identified in last year’s Preliminary ‒ robust – with defined terms of success, Corporate Assessment report; and whether quantitative or qualitative; and • existing scrutiny arrangements support ‒ demonstrable – capable of being effective challenge in many respects, but supported by objective but not the Council has recognised that the roles necessarily measured or quantitative and responsibilities of scrutiny committees evidence.’ will need to alter in response to changes in 21 This proposal for improvement in our 2010 the Council’s governance and Annual Improvement Report echoes similar management arrangements. suggestions in previous reports over a 19 We provide updates on progress in relation to number of years. The quality of the Council’s some of these issues in paragraphs 20 to 47. self-evaluation of its success in meeting its 2010-11 improvement objectives necessarily reflects this lack of clarity in the way in which they were defined.

10 Annual Improvement Report - Gwynedd Council 22 However, the Auditor General’s September 25 For each programme, the Council has set out letter reflects some improvement in the 2011- in its Three-Year Plan the vision underlying its 12 Improvement Objectives. The letter ambitions, the results it wants to achieve and reported that the Council’s improvement what citizens might experience as a result. objectives for 2011-12 and its improvement Following a brief description of the projects plan, the ‘Three Year Plan 2011-2014’, met included within each programme, and their the requirements of the Measure. Though not intended benefits, the Council has established yet consistent across all parts of its business, for each programme a manageable set of the Council’s planning is beginning to reflect programme indicators. the greater use of outcome measures to define objectives and associated targets. 26 In the best cases, these indicators focus clearly on outcomes. For example, the 23 This improvement is largely the result of the Economy and Regeneration programme Council’s transformation over the last two board has said that, as one of its results, years to a system of programme there should be, ‘more residents across the management. Early consultation with key county in work, especially young people’. In partners and representative groups, order to assess its progress, the Council has undertaken in 2010 as part of the county-wide therefore included the following among the strategic planning framework, helped to programme indicators: identify local needs. The six programme boards, led by the Chief Executive and the • the number of people under the age of 25 Council’s most senior managers, then worked claiming Jobseeker’s Allowance; and to refine these priorities into a coherent set of • the proportion of the work-age population plans that collectively form the bulk of the in employment. Council’s Three-Year Corporate Plan 2011- 27 The Council recognises that indicators such 2014. as these may be influenced by many factors 24 The Council’s improvement objectives for that are outside its control. However, in 2011-12 correspond to the focus of each of identifying and monitoring such indicators, the the programme boards. These are: Council is in a much better position than before to assess whether or not its actions • Transforming the Council are contributing to improvement, to consider • Economy and Regeneration adapting its plans as necessary and to influence partners. • Children and Young People 28 Some programmes have also included among • Vulnerable People their indicators measures of customer • Value for Money satisfaction. For example, the ‘Transforming • Environment and Infrastructure the Council’ programme board has set as one of its measures the proportion of customers who are satisfied with the service they receive

11 Annual Improvement Report - Gwynedd Council after contacting the Council. The Council’s timescale for certain projects. Reviews such decision to monitor and report such data as this, approved by elected members, should publicly reflects its commitment to improving help to improve the quality of evaluation and its engagement with its citizens and a genuine enable citizens to take a more informed view determination to provide a good service for its of the Council’s progress. customers. 31 We referred earlier to the Council’s 29 The increasing use of programme and project commitment to ‘Transforming the Council’ as management has also resulted in the one of its six programme boards and Council’s planning becoming more dynamic. improvement objectives. Led by the Chief Plans are increasingly seen as ‘live’ Executive, this programme board aims to documents that need to reflect changing bring about the Council’s stated wish to be, circumstances. They are subject to proactive ‘an organisation that changes in order to monitoring and evaluation and, where reach its potential and a Council that ensures necessary, the plans change. For example, that public needs are at the heart of the Council had set a target in its annual everything it does’. The work of this update of its Three Year Plan for 2008-11 that programme board represents the main over 400 managers and supervisors would vehicle for driving forward change in the receive training in customer care. In fact, only Council’s culture and in its corporate 19 staff received the planned training. The arrangements. In its self-assessment of its Council has recorded this in its self- performance in 2010-11, the Council has said assessment of performance as a failure to that, through the work of ‘Transforming the meet its target. However, we found during our Council’, it will: recent fieldwork that, in fact, the reduction in the number of trainees reflects an evaluation • listen to the voice of the public and consult that the training was having little impact, and more effectively; a consequent change in its training strategy. • manage change carefully; We found a number of other instances where • provide clear priorities; planned actions were reported as having failed to deliver, but where officers provided • make effective use of resources; us with good reasons as to why plans had • develop and empower leaders and staff to changed and that, as a result, the targets set work effectively; and at the beginning of the year had not been met. • improve internal and external collaboration to make the best use of public resources. 30 The Council has now begun to formalise this process of reviewing its plans regularly, 32 Although the Council’s improvement improving its openness and transparency as a objectives for 2010-11 were not defined with consequence. Since adopting the new Three sufficient clarity, the Council has assessed its Year Plan for 2011-14 in June 2011, the progress during 2010-11 as being on track or Council has already approved and published within acceptable tolerance for 18 of the 21 amendments that relate mostly to the planned actions it had planned to deliver within the ‘Transforming the Council’ programme.

12 Annual Improvement Report - Gwynedd Council 33 The improvements noted above in business Wales recorded lower sickness absence rates planning form part of the ‘Transforming the in 2010-11. Across a workforce of some 6,500 Council’ programme. To support its employees, this reduction of 1.3 days’ performance management, the Council is also sickness absence per member of staff is making greater use across all departments of equivalent to the availability for work of about the Ffynnon software, a system introduced 40 more full time staff than in 2009-10. across Wales with the support of the Welsh Government. Our audit of 24 of the Council’s 36 Nevertheless, the CSSIW has noted in its performance indicators for 2010-11 resulted in Annual Review and Evaluation of only two qualifications, fewer than in the past. Performance in 2010-11 that, in social services, there has been an increase in the 34 Significantly, neither of the performance rates of absence due to sickness. The CSSIW indicators we qualified related to social also reports growing management capacity services data, an area where accurate issues that have contributed to unacceptable management and performance information delays in some aspects of care management. has been an area of concern in the past. The During the 2011 inspection of assessment CSSIW has reported that performance and care management in Children’s Services, management in social services is improving, inspectors found a lack of consistency in the although there is still much to do to ensure support and supervision available to social that management information across the workers and in the volume of social workers’ service is robust and commands the caseloads. necessary confidence. Inspectors from the CSSIW found that the Council’s social The Council has prepared thoroughly for the services information system is not being used changes that lie ahead in its governance consistently, with documents sometimes arrangements being stored in different places. 37 We reported in the September letter that, 35 Among the projects assessed as being while the Council’s scrutiny arrangements successful, the Council refers to its work in support effective challenge in many respects, developing a mentoring and coaching the Council has recognised that the roles and framework among its staff and increased responsibilities of scrutiny committees will opportunities to celebrate success. These need to alter in response to changes in the initiatives form part of the Council’s work to Council’s governance and management change its culture. Though not directly arrangements. These changes are significant attributable to this work, the Council has and will take effect after the May 2012 Local reported a significant reduction in its staff Government elections. In response to the sickness absence figures for 2010-11, with requirements of the Local Government 8.7 days lost per member of staff compared Measure 2011, the Council’s governance with 10 days in 2009-10. Only two councils in model will change from the current ‘fourth

13 Annual Improvement Report - Gwynedd Council option’ model, where a politically balanced The Council has been active in seeking to Board exercises political leadership, to the pursue opportunities to collaborate at both Leader and Cabinet model. regional and sub-regional levels

38 Drawing on its self-assessment of its 39 The Council has played a leading role at a leadership, engagement and governance senior level in the work of the North Wales procedures, the Council has prepared Regional Partnership Board which continues thoroughly for the changes ahead. During to develop a range of shared services across 2010-11, the Council has laid the foundations north Wales. The Council has approved in for creating personal development plans for principle the Outline Business Cases for: new Cabinet members. There is clear recognition among senior officers and • a Regional School Effectiveness and councillors that the role of the portfolio holder Improvement Service; and under the new arrangements will carry greater • a Regional Commissioning, Procurement responsibility than before in terms of policy- and Monitoring Hub, aimed at securing making. Under the current arrangements, greater efficiency in the procurement and scrutiny committees have played a prominent subsequent monitoring of high-cost, low- and effective role in the formulation of policy, volume residential care packages for a role that will diminish in the future. The children and adults. Council’s leadership has engaged effectively 40 The Regional Partnership Board, which with scrutiny committee members to prepare includes other public services as well as the them for the changes ahead. While some six north Wales councils, leads four councillors remain doubtful, the Council’s programmes of work. Each includes one or proposals are ambitious and will, if more potentially significant collaborative successful, result in scrutiny committees projects. Partners have invested much time developing an important role in evaluating the and resources in taking this work forward over impact of the Council’s policies and decisions the last two years in response to Welsh on citizens. Such a role has the potential to Government encouragement and the further strengthen the Council’s evidence- increasing need to find efficiencies. However, base for future self-assessments. those projects that will integrate services across north Wales are all grappling, often separately, with difficult issues such as:

• the governance of the proposed joint services, and how each of the constituent councils might retain and exercise their individual accountability for the cost and quality of the services delivered on their behalf; and

14 Annual Improvement Report - Gwynedd Council • how to deal with differences in the terms The Council continues to deal effectively with and conditions of staff who may transfer to the financial challenges facing local the new integrated service, once government established. 43 We reported in the September Corporate 41 Outside the regional partnership agenda, the Assessment Update letter that the Council Council is working with neighbouring Isle of had strong and effective financial leadership. Anglesey County Council to develop a joint We judged that the early adoption of the Local Development Plan. The Plan, which is 2010-13 Savings Strategy and production of required by the Welsh Government, will set a the 2011-15 Medium Term Financial Strategy policy framework to inform planning decisions meant the Council was well placed to manage about the use of land across the two the challenges ahead. We remain of this view. authorities. A resourced action plan is in place to deliver the Local Development Plan. 44 The Savings Programme Board is responsible for delivering the Council’s improvement 42 A review of north Wales strategic objectives in terms of responding to reduced partnerships, led in 2010-11 by the North revenue and capital resources and making Wales Police Authority on behalf of the six the best use of the Council’s assets. In its north Wales councils, the Betsi Cadwaladr self-assessment of performance in 2010-11, University Local Health Board and the North the Council has reported that its three-year Wales Fire and Rescue Service, proposed £16 million package of savings schemes was that local strategic partnerships should on track, and had achieved all the £4 million become ‘sub-regional’, with pairs of councils savings planned for 2010-11. In preparing to working together. The proposal aimed to set its budget for 2012-13, the Council is able reduce the considerable duplication involved to accommodate £8.3 million of unavoidable in the work of approximately 35 strategic growth in its revenue spending plans without forums that were in place across the North further modification in its financial planning, Wales region at the time. The Gwynedd Local and assuming an increase of only 3.9 per Service Board has agreed to work with the cent in Council Tax. Anglesey Local Service Board to take forward the rationalisation of statutory partnerships 45 We refer later in this report to the fact that the across the two counties and a joint project Council is taking forward its school board has been working to deliver this modernisation plans. Following changes in agenda. the Welsh Government’s funding arrangements for its 21st Century Schools programme, the Council will need to find £18.1 million over the next six years to match the Welsh Government’s commitment. The Council is sufficiently confident in its financial strategy to be able to commit itself to making the necessary revenue savings to pay for this additional borrowing.

15 Annual Improvement Report - Gwynedd Council 46 Within the Savings Programme in 2010-11, 49 This year, the Welsh Language Board has the Council had planned to buy a new again praised the Council for its robust integrated human resources computer system administration of the Welsh Language in order to improve the efficiency with which Scheme and the provision of a the Council obtains management information comprehensive Welsh language service to about its staff. However, the Council has the public in all service areas. The Council postponed this work pending further has invested extensive resources in order to discussions with other north Wales councils strengthen compliance with the requirements about the potential of establishing a common of the Scheme in areas that have proven system across the region. problematic in the past, namely the leisure service and the youth service. The Council 47 In 2010, the Wales Audit Office identified that mainstreams the language into all aspects of many councils were grappling with the its business planning and policy decisions. problem of ensuring that they used The Board also praised the Council for its technology and information effectively to work in promoting the language in the support service transformation and achieve community through its Community Strategy efficiency savings. As a result, we have and its core services. reviewed the use of technology and, separately, the quality of information management at all councils in Wales. We shall report the conclusions of these reviews in Gwynedd during 2012.

The Welsh Language Board has praised the Council for its comprehensive Welsh Language service to the public

48 The Welsh Language Board works with councils to help them develop their statutory Welsh Language Schemes that outline the way in which councils provide services to the public in Welsh. Every council provides an annual monitoring report to the Welsh Language Board.

16 Annual Improvement Report - Gwynedd Council There was steady progress in 2010-11 in improving key service areas but the impact of the Council’s work is not yet apparent in aspects of social services and in the development of sustainable communities

50 We have commented earlier in this report on workforce and improving arrangements for progress in delivering the Council’s internally- collecting data. The Council acknowledges in focused improvement objectives relating to its its self-assessment that the timetable for ‘Savings’ and ‘Transforming the Council’ developing the workforce has slipped programmes. In paragraphs 51 to 91, we because the work of developing a focus on the other four programmes that commissioning strategy has taken longer than focus explicitly on improving services to local planned. people. 53 The CSSIW has concluded in its Annual The Council is making progress slowly to Review and Evaluation of Performance in modernise its social services but much 2010-11 that the Council’s longer-term vision for social care services has not always been work remains to ensure that cases are clear. There have been too many delays in managed and support delivered in a developing robust and measurable consistent and timely manner commissioning plans for all service areas that are subject to both political and public 51 Improving services for vulnerable people was scrutiny. However, the CSSIW has noted that one of the Council’s improvement objectives the Council has made further progress during for 2010-11. Under this objective, the Council 2011-12. said that it would: 54 None of the Council’s improvement objectives • offer fairness and opportunities for the for 2010-11 were linked explicitly to most vulnerable people; measurable outcomes. However, in its self- assessment, the Council has concluded that • ensure that provisions for vulnerable four of the 11 planned improvements in its people are planned and commissioned to Vulnerable People programme achieved the meet the needs of the individual; planned outcome, and a further six had made • prepare responsive services in an acceptable progress. Within its balanced integrated way that are easily accessible; scorecard of performance indicators, the and Council reported improved performance in a number of indicators relating to social care for • give people an opportunity to live children and young people. The delivery of independently according to their wishes. extra-care housing for older people, for the 52 The Council’s self-assessment of its second year in succession, remains ‘work in performance in 2010-11 notes that the progress’. Although the Council has identified priorities for the Vulnerable People four sites for extra-care housing, building programme during the last three-year plan work is underway in only one of these. (2008-2011) were to establish a sound foundation for the future, particularly in the fields of commissioning services, planning the

17 Annual Improvement Report - Gwynedd Council Social services for adults made some progress 58 The CSSIW also reports that the Council has during 2010-11 but much work remains to made progress in addressing some long- secure a culture that provides choice and standing gaps in provision. For example, it independence for local people on a consistent has increased the availability of 24-hour care basis for people with dementia in both Council-run and independent care homes. This 55 Despite the prominence and priority given to improvement is beginning to reduce the improving outcomes for vulnerable people in comparatively high number of ‘delayed the Council’s strategic planning, the CSSIW transfers of care’, where people remain in has reported in its Annual Review and hospital for longer than necessary because Evaluation of Performance in 2010-11 that no suitable social care is available for them. many aspects of work remain in need of The Council has also increased the level of improvement. The Council has reported service available to support older people in improvements in a number of under- the south of the county by establishing a performing areas during the first six months of brokerage service that has helped to drive 2011-12 but progress has been patchy and and shape the home care market. some statutory service performance standards and requirements are still not being 59 The Council is committed to transforming met. service provision by reducing dependency upon traditional residential care models to 56 The CSSIW concluded that Adult Services enable an improved focus upon prevention, had made some progress during 2010-11 but enablement and the promotion of there was still much to do in order to secure a independence. The telecare service1 now has culture of enablement that provides choice over 800 service users and a bilingual call and independence for local people on a centre will be provided in collaboration with a consistent basis. number of other north Wales councils.

57 The CSSIW nevertheless identified a number 60 We refer in paragraph 34 to past of areas in which the Council’s Adult Services weaknesses, now rectified, in the accuracy perform well. For example, people are now and reliability of some of the Council’s social able to access an increasing range of service performance indicators. Comparisons information about services in local public with past performance may be therefore access points and online and there are further unreliable. However, the CSSIW has reported plans to improve the service’s a number of matters that suggest that much responsiveness. remains to be done in order to fulfil the Council’s commitment to promoting independence. In particular:

1 Telecare is the term used for the use of technology to help people remain independent and safe in their own homes. In its simplest form, it can refer to a fixed or mobile telephone with a connection to a monitoring centre through which the user can raise an alarm. Technologically more advanced systems use sensors, whereby a range of potential risks can be monitored.

18 Annual Improvement Report - Gwynedd Council • there has been little change in the high accommodation that better promotes rate of older people that the Council independent living for service users with a supports in care homes; and learning disability. The Council reports that it has now approved an Accommodation Plan to • in 2010-11, the Council supported address this issue. significantly fewer older people in the community than in the previous year. Social services for children have struggled 61 Though the Council has reported some to meet some national standards and improvement in 2011-12, there were other statutory requirements in terms of the areas in which performance compared timeliness of assessments and unfavourably in 2010-11 with that elsewhere subsequent reviews in Wales. For example: 64 The CSSIW’s Annual Review and Evaluation • the rate of older people who experienced of Performance in 2010-11 concludes that delays in their hospital discharge for social Children’s Services has not yet secured all of care reasons, improved only marginally the improvements necessary to provide and was significantly higher than that assurance or confidence in the delivery of experienced in other north Wales councils; social care services. A number of previous and improvement priorities have not been addressed and statutory requirements not • only 63 per cent of service users had a met. review of their care plan, even though there was a significant reduction in the 65 Some of the weaknesses identified by the number of service users requiring a CSSIW stem from the way in which the review. Council records information about the cases that are referred to the service. The Council 62 The reviewing of care plans plays an includes every contact with Children’s important role in ascertaining whether Services as a referral. As a result, the number people’s needs are met appropriately, and the of referrals recorded in 2010-11 was far intelligence gathered from reviews can be higher than might be expected. Of the 3,900 used to predict future service demands and referrals recorded, only 1,500 progressed to influence service development. The CSSIW the initial assessment stage. The CSSIW has reported that the Council’s performance review of children’s assessment and care in reviewing care plans needs immediate and management practice in early 2011 also ongoing improvement so that the Council is found that different area teams operated to able to make faster progress in focusing on different thresholds. The inspectorate has enablement. concluded that clarity and consistency in 63 A CSSIW review of learning disability services recording and classifying referrals are accommodation found that a number of required and that the Council should address houses are unsuitable in enabling these data management issues as a matter of independence. In response, the Council is urgency. working with prospective investors to develop sites in order to secure modern and suitable

19 Annual Improvement Report - Gwynedd Council 66 The high number of referrals impacts people. The stability of foster placements is adversely on the Council’s assessment and good, but looked-after children still experience care management processes. For example: too many school changes. The school attendance of looked-after children has • The percentage of referrals where a improved at both primary and secondary decision was made within one working day levels. Educational attainment at key stages 2 fell to 83.4 per cent in 2010-11, the lowest and 3 has improved in recent years but fell in proportion in Wales. The national standard 2010. However, GCSE results for looked-after requires all decisions to be made within children improved. one working day. 69 While all looked-after children were allocated • The percentage of initial assessments to a social worker, the Council did not completed within seven working days fell undertake statutory reviews or complete to 46.5 per cent in 2010-11, one of the statutory visits within the required timescales lowest proportions in Wales. While the in a significant number of cases. Council reports that performance in 2011- 12 has improved to 69 per cent, the 70 The CSSIW has reported that outcomes for national standard requires that all initial young people leaving care are poor, as few assessments be completed within seven are in employment, education or training at working days. age 19. All 17 former looked-after children are 67 However, the high number of referrals does still in touch with the council at age 19, but not fully account for weaknesses in two were not in suitable accommodation. performance and failure to meet national Furthermore, nine of the 17 young people standards. The percentage of mandatory core concerned currently did not have the assessments completed within 35 working appropriate employment, education or training days increased to 68.5 per cent in 2010-11, opportunities that are important in improving which is slightly better than the Wales the life chances for those leaving care. average. However, the CSSIW inspection of The Council is placing fewer homeless families assessment and care management than before in temporary accommodation arrangements undertaken in 2011 concluded that completion rates were lower than the 71 We reported in last year’s Annual level reported and that there was significant Improvement Report that the Council was delay and drift in some complex cases. The performing well in preventing homelessness national standard requires that all core but that the Council had made more use of assessments be completed within 35 working bed and breakfast accommodation than most days. other councils to house the comparatively small number of homeless families with 68 There are positive features in the Council’s children. Though not among its improvement support for looked-after children. A recent objectives for 2010-11, the Council had set a CSSIW review of fostering services found the target that no families should be located in service to be well run, providing good quality short-term accommodation for more than six and nurturing care for children and young months. While the Council failed to meet this

20 Annual Improvement Report - Gwynedd Council ambitious target, the number of families 73 Estyn has told us that, when compared with located in short-term accommodation for over similar schools across Wales, the six months fell by one third in comparison with performance of schools in the Core Subject 2009-10. Nevertheless, the length of time that Indicator (the percentage of pupils achieving homeless families spend in all forms of the expected levels in Welsh or English, temporary accommodation remains higher mathematics and science) is above average than in most other councils. in key stage 1 (seven year-olds), around the average in key stage 2 and above average in The Council continues to take difficult key stage 3 (14 year-olds). However, the decisions in order to modernise its performance of schools at key stage 4 (16 educational provision but too many year-olds) is below average, with too many secondary schools are producing GCSE secondary schools in the lowest quarter when compared to similar schools and only two results that compare unfavourably with schools out of 14 in the highest quarter. For similar schools elsewhere in Wales one indicator, half of all schools are in the lowest 25 per cent. Most indicators of educational performance have continued to improve but Estyn has 74 Performance in key stages 3 and 4, based on judged that GCSE results in too many entitlement to free school meals, met or secondary schools compare unfavourably with exceeded eight out of the 12 Welsh similar schools across Wales Government benchmarks in the four years up to 2010. However, the Council has not met 72 We reported in last year’s Annual the benchmark for the percentage of learners Improvement Report that the standards reaching the level 2 threshold including achieved by pupils in primary and secondary English or Welsh first language and schools in 2010 had, for the fourth year, mathematics in 2009 or 2010. Similar data for continued a trend of consistent improvement. 2011 is not yet available. In 2011, there was again an improvement in almost all indicators but there was a slight fall 75 Secondary attendance overall shows an at key stage 2 (11 year-olds). In all key improvement in three of the four indicators. stages, pupils’ performance across the county When compared to similar schools across compares favourably with that in other Wales, attendance in Gwynedd’s secondary councils in Wales. Students in the seven schools is around the average. In primary Gwynedd schools with sixth forms again schools attendance is above the average. performed well in 2011; the average wider The number of exclusions from schools has points score for pupils aged 17 at the start of remained around the average for the last four the academic year was higher than in all but years, but the number of days pupils lose three other authorities in Wales. from school because of fixed-term exclusions of up to five days remains relatively high.

21 Annual Improvement Report - Gwynedd Council The Council continues to take difficult views and, in some cases, made changes to decisions in the pursuit of better educational accommodate concerns. provision for children and young people 78 In the meantime, the Council has continued 76 Since we reported last year, the Welsh its programme of reviewing the provision of Government has revised its 21st Century schools in each catchment area. Councillors Schools initiative to reflect the reduction in the have taken difficult decisions in taking forward capital funding available. Councils were this agenda, reflecting positively on the required to submit revised strategies covering Council’s political leadership. While the a six-year period, and during which they objectives of the reorganisation programme would be required to contribute 50 per cent of focus appropriately on raising standards, 28.6 the necessary capital, rather than the 30 per per cent of places in Gwynedd schools were cent that had originally been planned. The empty in January 2011, the highest level of Council’s revised strategy has attracted £18.1 surplus capacity in Wales. million in Welsh Government funding in order to improve the quality of school buildings in 79 Despite the inefficiencies associated with high four areas of the county. This sum is in levels of surplus capacity, the cost per pupil of 2 addition to the £5.5 million of Welsh primary school education has fallen slightly in Government capital previously committed to 2011-12 to £5,060, the fourth highest among improving the quality of schools in the Tywyn all councils in Wales. The equivalent cost for area. Welsh Ministers have now approved secondary schools increased slightly to this, the Council’s first major reorganisation of £4,942 per pupil, the sixth highest among schools, that will result in the closure of five councils in Wales. In total, expenditure on schools (one of which has already closed) primary and secondary schools increased by and the building of a new area school. The about 0.5 per cent. However, this increase is Council’s willingness to match the Welsh set within the context of an increase of only Government funding commitment 0.1 per cent in the Council’s overall demonstrates its ambition in terms of expenditure on education. The Council has improving school buildings. therefore begun to transfer more resources to ‘frontline services’, in line with Welsh 77 We reported in the Auditor General’s Government policy. September Corporate Assessment Update letter that the Council’s overall approach to 80 The Council has also made a little progress school reorganisation, at both county and towards meeting targets set by the Welsh local levels, is based on sound principles and Government to increase the proportion of a reasonable process. Nevertheless, education funding that is delegated to proposals involving the closure of schools are schools. At £3,942 per pupil in primary inevitably controversial. In the case of the schools and £4,603 per pupil in secondary Tywyn area reorganisation, the Council can schools, delegated budgets are, respectively, show that it has taken account of people’s the sixth and third highest among councils in

2 Figures taken from Revenue Account Forms, and include both delegated and non-delegated expenditure apportioned to primary schools, including specific grants.

22 Annual Improvement Report - Gwynedd Council Wales. However, schools are not yet making years. In Gwynedd, the project will focus on inroads into the considerable financial ensuring that young people are equipped with reserves that they have built up in the past. the skills and the opportunities to enter the During 2010-11, the level of reserves held by labour market. During 2010-11, the Council schools increased by £0.7 million to £4.5 also developed and implemented a range of million. This represents £268 per pupil, the projects to offer work experience to second highest level of reserves held by unemployed young people through schemes schools in Wales. such as the Future Jobs Fund and Genesis3. However, the Council’s self-assessment The Council is active in seeking to ensure that includes no information about the number of young people have the necessary skills and such opportunities provided. attitudes to be able to enter the labour market The Council has made steady progress in 81 Under its programme for Children and Young People, the Council said that, in 2010-11, it promoting the economic and would, ‘take steps to improve opportunities for environmental sustainability of children and young people, by ensuring communities in Gwynedd but it is too early preventative services that will offer early for the Council to be able to demonstrate intervention to those who require such the impact of its effort services. The Council has previously piloted a ‘Team Around the Child’ approach whereby a multi-agency team has worked with young 83 Among its improvement objectives for 2010- people and their families in the catchment 11, the Council said that it would, ‘nurture and area of a secondary school. This work has develop a county-wide community that is been successful in identifying at an early sustainable, increasing the comparative stage problems associated with disaffection prosperity by improving the skills base and from school and wider anti-social behaviour. creating sustainable employment’. In particular, the Council sought to: 82 With the support of European grant funding, the Council is now extending this approach to • promote economic developments and several other areas of the county. This will disseminate growth across the county; and form part of the wider ‘Potensial’ project • target and develop important sectors in aimed at children and young people aged 11 Gwynedd by building on existing to 19 who are at risk of disengagement, strengths. under-achievement or failure in schools and colleges. Gwynedd Council is leading a consortium consisting of three other councils, two Further Education colleges and Careers Wales in delivering this project the total cost of which amounts to £14.7 million over three

3 Genesis projects are partly financed by the European Social Fund and are intended to support female lone parents who are economically inactive. However, the projects also assist a number of other disadvantaged groups who may or may not also fit into this category, for example NEETs (those not in employment, education or training), including teenage parents.

23 Annual Improvement Report - Gwynedd Council 84 In its self-assessment of its performance in local economy. The Council is also targeting 2010-11, the Council has listed a number of support to specific sectors of business and important factors that justify its focus, as one industry. For example, it has supported the of its six programme areas, on Regeneration local building trade in competing for contracts and Economy. The Council notes, for to support Cartrefi Cymunedol Gwynedd4 in example, that: developing its housing stock to meet the Welsh Housing Quality Standard. Cartrefi • average earnings in Gwynedd are among Cymunedol Gwynedd reports that it has let the lowest in Wales; contracts with a value of almost £9 million to • a dependence on a small number of five local companies since its inception in sectors for employment creates a fragile 2010. economy; and 87 The Council has recognised in its self- • the county’s distance from large markets assessment that it is too early to identify the contributes to the comparative impact of its work on Gwynedd’s economy, underperformance of the economy. employment sectors, businesses and 85 We have referred earlier in this report to the communities. However, the Council has fact that the Council’s improvement objectives included among the measures associated for 2010-11 included no specific measures with its 2011-12 improvement objectives a against which to assess progress. In its number of indicators that better reflect the balanced scorecard of key indicators, the impact of its work and that of its partners in Council has included only two indicators developing the county’s prosperity. relating to its contribution to improving the 88 Environmental issues form a significant county’s prosperity. The Council has recorded element of the Council’s improvement that it supported over 500 young people objectives. In its Environment and during the year to establish a business and Infrastructure programme, the Council said that almost all the Council’s industrial units that, in 2010-11, it would work towards are full. securing a ‘safe, clean environment which 86 However, the Council has also reported that brings benefits to the community’. In all of the 19 projects supporting its particular, the Council sought to ensure: Regeneration and Economy Programme are • a decrease in the county’s ecological on track or making acceptable progress. The footprint and a judicious response to Council has, for example, established a fund climate change; and in order to provide loans to local businesses. It was also successful in helping to attract • rigorous management of the county’s BBC Radio One’s Big Weekend to Bangor in waste. 2010, an event that the Council estimates generated an additional £3.5 million for the

4 Cartrefi Cymunedol Gwynedd is a social housing organisation established in 2010 following the completion of the large-scale transfer of the Council’s housing stock.

24 Annual Improvement Report - Gwynedd Council 89 The Council’s contribution towards mitigating 91 Performance indicators relating to the work of the risks associated with climate change the Council’s public protection services are represents part of the wider Community positive in most respects. The Council Strategy which is overseen by the Local inspected all high-risk businesses that were Service Board. During 2010-11, the Council liable to a programmed inspection for trading led the Local Service Board’s programme to standards, animal health and health and reduce carbon emissions among public safety. However, as has been the case in the bodies in Gwynedd. During the year, there past, the Council inspected only 90 per cent was a further reduction of four per cent in of high-risk businesses for food hygiene. The CO2 emissions from public buildings. The number of businesses classed as being ‘high percentage of municipal waste sent for landfill risk’ and therefore due for inspection in fell slightly during 2010-11, but the Gwynedd is unusually high, with only two improvement was less than that which had councils reporting higher numbers. There been targeted and the Gwynedd figure were 93 such businesses for which scheduled remains a little higher than the Wales inspections did not take place during 2010-11. average. However, the Council also recycles a slightly higher proportion of the waste it collects than the average. The introduction of food waste collection throughout the county during 2011 has the potential to further increase rates of recycling and composting and to reduce the amount of waste sent to landfill.

90 The Council’s planning shows clearly its awareness that, alongside environmental issues, the economic and social sustainability of its communities is a key priority. During 2010-11, 70 additional units of affordable housing were built. Although fewer than were built in 2009-10, this represents a much higher proportion than before of the total additional housing units provided during the year. The Council also succeeded in bringing 55 empty private-sector dwellings back into use during the year.

25 Annual Improvement Report - Gwynedd Council There are promising signs that the Council is developing its capacity to reflect on its performance and to modify its planning accordingly

92 The Auditor General has determined that the provide a useful and balanced summary of Council has discharged all of its duties in performance. However, they do not provide a relation to publishing improvement clear evaluation of the Council’s success or information. However, in producing its annual otherwise in relation to its 2010-11 self-assessment, there are some aspects in improvement objectives. This weakness is, to which the Council might improve its a large extent, a consequence of the fact that compliance with Welsh Government the Council’s improvement objectives for guidance. We expand on this assessment 2010-11 were not defined with enough clarity below. and precision.

93 The Council published its self-assessment of 95 The Improvement Plan also includes its 2010-11 performance (the Improvement information on all required performance Plan – Report on 2010-11) before the end of indicators. The Council has, for a number of October 2011, as required. Overall, we found years, developed a ‘balanced scorecard’ that the Council’s 2011 self-assessment is a comprising both national and local indicators significant improvement in comparison with to represent its performance in relation to previous years. In particular, the Council’s corporate priorities. However, the measures in self-assessment shows much better balance the balanced scorecard are not linked than before. This year, the Council has been explicitly to individual improvement objectives. much clearer in drawing attention to areas The Council’s new Three Year Plan for 2011- that have not been successful as well as 14 addresses this issue by including a set of those areas that have improved in measures for each of the six programme accordance with the Council’s plans and areas. targets. 96 Where possible, the reporting of performance 94 The Improvement Plan includes an information allows the reader to compare the assessment of success against each of the Council’s performance against the Wales activities that had been planned in order to average, the Council’s own performance in contribute to the achievement of each the two previous years and the target that the improvement objective for 2010-11. The use Council had set for 2010-11. The document of a traffic light system5 makes it easy for the therefore provides a comprehensive set of reader to assess progress. However, the comparators although it offers no Council’s assessment focuses on the comparisons with any group of councils that activities, rather than on the improvement may work in similar contexts to the Council. objectives that they underpin, making it difficult to be clear about the Council’s own 97 It is not clear, however, how the Council has assessment of the extent to which those used its analysis of performance indicators improvement objectives have been achieved. and measures to inform its evaluation. There Commentaries for each programme area, and is no reference in the self-assessment to the headed ‘the story behind the performance’, lessons learned from those aspects of the

5 Green, Amber and Red colours to represent, respectively, achievement as planned, acceptable progress and lack of success.

26 Annual Improvement Report - Gwynedd Council Council’s work that have been successful nor 100 As is the case in almost all councils in Wales, from those aspects that appear to have there is scope to improve the Council’s under-performed. There is too little linkage self-assessment, published each October. between the Council’s summary of its However, this document forms only part of the performance in each programme area and its Council’s wider function of self-evaluation. analysis of performance using national and We have referred earlier in this report to a local performance indicators. number of features that contribute well to a culture of reflection and analysis of 98 There are numerous references throughout performance that feeds into the Council’s the Council’s self-assessment to partnership planning. In particular: working and to further possibilities for collaborative working. However, Welsh • the Council’s project and programme Government guidance recommends that the management arrangements provide a document should include details of the ways formal mechanism whereby progress is in which the Council has exercised its powers assessed regularly, and corrective action of collaboration during the reporting year, is taken where necessary; including details of whether a collaborative • there is better linkage than before between activity has achieved its intended outcomes. the Council’s improvement objectives for 99 The Council has complied with Welsh 2011-12 and the measures and indicators Government guidance by publishing a it plans to report; summary of its self-assessment in its • the Council has begun to publish updates newsletter, Newyddion Gwynedd, which is to its plans that demonstrate the fact that it delivered to all households within the county. is regularly taking stock of its performance However, this summary focuses almost and acting accordingly; and exclusively on what the Council sees as its successes in 2010-11. The summary does not • the Council’s proposals for new scrutiny relate specifically to the Council’s arrangements after May 2012 have the improvement objectives for 2010-11, potential to offer a significant means although it includes information on how the whereby councillors contribute more full self-assessment can be accessed. effectively than before to the evaluation of the impact of decisions and policies.

27 Annual Improvement Report - Gwynedd Council Appendices

28 Annual Improvement Report - Gwynedd Council Appendix 1 Status of this report

The Local Government (Wales) Measure 2009 (the Measure) requires the Auditor General to undertake an annual Improvement Assessment, and to publish an Annual Improvement Report, for each improvement authority in Wales. This requirement covers local councils, national parks, and fire and rescue authorities.

This report has been produced by the Auditor General to discharge his duties under section 24 of the Measure. The report also discharges duties under section 19 to issue a report certifying that he has carried out an Improvement Assessment under section 18 and stating whether, as a result of his improvement plan audit under section 17, he believes that the authority has discharged its improvement planning duties under section 15.

Improvement authorities are under a general duty to ‘make arrangements to secure continuous improvement in the exercise of [their] functions’. Improvement authorities are defined as local councils, national parks, and fire and rescue authorities.

The annual Improvement Assessment is the main piece of work that enables the Auditor General to fulfil his duties. The Improvement Assessment is informed by a forward-looking assessment of an authority’s likelihood to comply with its duty to make arrangements to secure continuous improvement. It also includes a retrospective assessment of whether an authority has achieved its planned improvements in order to inform a view as to the authority’s track record of improvement. This report also summarises the Auditor General’s conclusions on the Council’s self-assessment of its performance.

The Auditor General may also in some circumstances carry out special inspections (under section 21), in respect of which he will provide a report to the relevant authorities and Ministers, and which he may publish (under section 22). The Auditor General will summarise audit and assessment reports in this published Annual Improvement Report (under section 24). This will also summarise any reports of special inspections.

An important ancillary activity for the Wales Audit Office is the co-ordination of assessment and regulatory work (required by section 23) which takes into consideration the overall programme of work of all relevant regulators at an improvement authority. The Auditor General may also take account of information shared by relevant regulators (under section 33) in his assessments.

29 Annual Improvement Report - Gwynedd Council Appendix 2 Useful information about Gwynedd and Gwynedd Council

The Council

In 2010-11, the Council’s total revenue spending, including specific Welsh Government grants, was £267.6 million. This equates to about £2,249 per resident and is very close to the average for councils in Wales. In the same year, the Council also spent £40.1 million on capital items.

The average band D council tax in 2010-11 in Gwynedd was £1,190.38. This has increased by 3.89 per cent to £1,236.66 for 2011-12 and is slightly higher than the Wales average. Seventy-seven per cent of the dwellings within Gwynedd are in council tax bands A to D.

The Council is made up of 75 elected members who represent the community and make decisions about priorities and the use of resources. The political make-up of the Council is as follows:

• 38 Plaid Cymru • 17 Independent • 12 Llais Gwynedd • 4 Labour • 4 Liberal Democrat Mr Harry Thomas is the Council’s Chief Executive. He is supported by three Corporate Directors, Mr Dilwyn Williams, Mr Dafydd Lewis and Mr Iwan Trefor Jones. The Council employs 6,650 staff, including teachers and other school-based staff. This represents a reduction of about 150 since last year. Other information

The Assembly Members representing Gwynedd constituencies are:

• Lord Dafydd Elis-Thomas – Dwyfor Meirionydd, Plaid Cymru • Alun Ffred Jones – Arfon, Plaid Cymru

The Members of Parliament representing Gwynedd constituencies are:

• Elfyn Llwyd – Dwyfor Meirionydd, Plaid Cymru • Hywel Williams – Arfon, Plaid Cymru

For more information see the Council’s own website at www.gwynedd.gov.uk or contact the Council at the Council Offices, Shirehall Street, Caernarfon, Gwynedd, LL55 1SH, or by telephone on 01766 771000.

30 Annual Improvement Report - Gwynedd Council Appendix 3 Annual Audit Letter to the Members of Gwynedd Council

Local electors and others have a right to look at the Council’s accounts. When the Council has finalised its accounts for the previous financial year, usually around June or July, it must advertise that they are available for people to look at. You can get copies of the accounts from the Council; you can also inspect all books, deeds, contracts, bills, vouchers and receipts relating to them for 20 working days after they are made available. You can ask the auditor questions about the accounts for the year that they are auditing. For example, you can simply tell the auditor if you think that something is wrong with the accounts or about waste and inefficiency in the way the Council runs its services. For more information see the Wales Audit Office leaflet, Council accounts: your rights, on our website at www.wao.gov.uk or by writing to us at 24 Cathedral Road, Cardiff, CF11 9LJ.

The Appointed Auditor wrote to the Leader of the Council as follows on 30 November 2011. Annual Audit Letter to the Members of Gwynedd Council

As you will be aware the Auditor General for Wales will be issuing an Annual Improvement Report (AIR) to each local authority by the end of January 2012 and some of the issues that were traditionally reported in the Appointed Auditor’s Annual Audit Letter will be included in that report. Therefore I have taken the opportunity to summarise the key messages arising from the Appointed Auditor’s statutory responsibilities into this short letter which forms the Annual Audit Letter. The letter is designed to be a standalone document, but will also be presented to the Council and the public as part of the Annual Improvement Report and therefore discharges my reporting responsibilities under the Code of Audit Practice.

Gwynedd Council complied with its responsibilities relating to financial reporting and use of resources although some issues were identified

It is the Council’s responsibility to:

• put systems of internal control in place to ensure the regularity and lawfulness of transactions and to ensure that its assets are secure; • maintain proper accounting records; • prepare a Statement of Accounts in accordance with relevant requirements; and • establish and keep under review appropriate arrangements to secure economy, efficiency and effectiveness in its use of resources. The Public Audit (Wales) Act 2004 requires me to:

• provide an audit opinion on the accounting statements; • review the Council’s arrangements to secure economy, efficiency and effectiveness in its use of resources; and • issue a certificate confirming that I have completed the audit of the accounts.

31 Annual Improvement Report - Gwynedd Council On 29 September 2011, I issued an unqualified audit opinion on the accounting statements confirming that they present a true and fair view of the Council’s and the Pension Fund’s financial position and transactions. My report is contained within the Statement of Accounts. A number of matters arising from the accounts audit were reported to members in my Audit of Financial Statements report.

From 2010-11 local authorities in Wales are required to produce their accounts on the basis of International Financial Reporting Standards. The introduction of these new standards imposed significant additional demands on the Council’s finance staff.

Despite these additional pressures, the accounts were prepared by the statutory deadline. However, to assist the Council in ensuring that it meets the complex disclosure requirements in the future, we recommend that the Council uses the Code of Practice on Local Authority Accounting disclosure checklist.

The following issues were identified regarding Gwynedd Council’s accounts:

• In our opinion, the Council did not provide, in its accounting statements, for the full liability for the capping and after care of a waste disposal site. As a result, there was an uncorrected misstatement of £1.510 million. However, the Council provided management representations to explain the reasons for not amending and confirmed that capital reserves and budget allocations (in 2011-12 onwards) have been set aside to meet this liability. • A change to the Local Government Pension Scheme (Benefits, Membership and Contributions) Regulations 2007, effective from 30 September 2010, but which applied retrospectively from 1 April 2008, clarified that the back pay element of equal pay settlements is now pensionable. The Council had not treated some of its payments accordingly, and as such, in our opinion a potential liability of up to £528,000 had not been recognised in the accounts. The following additional issues were identified regarding the Gwynedd Pension Fund accounts:

• The issue relating to equal pay settlements being pensionable, as referred to in the previous paragraph, has implications for the pension fund. Whilst the onus is on employing authorities to determine the amount of pension contributions due to the Fund, the Council, as administering authority for the Fund, should consider what action, if any, it is required to take, to ensure that the contributions on equal pay back pay are made in accordance with the Pension Regulations. • Two matters arose regarding accounting practices, one relating to the need to establish a process to independently verify the change in market value of investments and the other to establish a process to identify that it has accrued for all pension liabilities to 31 March. In respect of both the Council’s and the Pension Fund’s accounts, a number of members of both the Council and the Pension Fund Committee, failed to make an annual declaration of related party interests, so as to allow the Council to disclose details within the financial statements.

32 Annual Improvement Report - Gwynedd Council My review of the Council’s arrangements to secure economy, efficiency and effectiveness has been based on the audit work undertaken on the accounts as well as placing reliance on the work completed as part of the Improvement Assessment under the Local Government Measure (2009). The main findings from this latter work will be set out in the Annual Improvement Report. There are no significant matters I wish to bring to your attention at this stage.

The Council has a well developed medium-term financial strategy and is well placed to meet its financial challenges over the next few years. This is referred to further in the Annual Improvement Report.

I issued a certificate confirming that the audit of the accounts has been completed on 29 September 2011.

The financial audit fees for 2010-11 are currently expected to be in line with those set out in the Annual Audit Outlines.

Anthony Barrett Appointed Auditor

33 Annual Improvement Report - Gwynedd Council Appendix 4 Gwynedd Council’s improvement objectives and self-assessment

Gwynedd Council’s improvement objectives for 2011-12

The Council is required by the Welsh Government to make plans to improve its functions and the services it provides. Each year it must publish these plans along with specific ‘improvement objectives’ that set out the key things that the Council intends to do to improve. The Council must do this as soon as possible after 1 April each year.

The Council published its improvement objectives in the Gwynedd Council Three Year Plan, 2011-2014, which can be found on the Council’s website at www.gwynedd.gov.uk. The improvement objectives are grouped under six broad headings:

• Transforming the Council • Economy and Regeneration • Children and Young People • Vulnerable People • Value for Money • Environment and Infrastructure Gwynedd Council’s self-assessment of performance in 2010-11

The Council’s improvement objectives for 2010-11 were grouped under the same six headings as for 2011-12. They were:

Transforming the Council: To be a body that manages change, that achieves its potential by means of innovative services and ensures that citizens are at the heart of everything it does.