From little acorns… How the role of Local Government needs to improve to support the third sector to grow

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blog-post-acorn-imageIn the following blog, the Wales Audit Offices Local Government Manager, Nick Selwyn explores the importance of the relationship between local government and the third sector in Wales, following the release of the Auditor General for Wales’ report Local Authority Funding of Third Sector Services.

Investment in third sector services increasing but local authorities in Wales not making best use of the third sector

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Local authorities in Wales are not always making the best use of the third sector and must do more to ensure that the work they are currently doing continues to secure value for money. This is according to a report released today by the Auditor General for Wales.
In recent years, local authorities have had to find new ways of maintaining services in the face of reductions in public money and have consequently increased their funding of other providers, particularly the third sector, to deliver key services.

Financial management and governance in community councils

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The report found that there remains scope for community councils in Wales to develop and improve financial management and governance particularly in relation to the quality of their financial reporting, financial management and internal audit arrangements.

Community councils in Wales manage significant sums of money and hold significant values of reserves and assets which is likely to increase in future. Some of the issues identified in the report include: