External Auditors KPMG have slated Wiltshire County Council accounts after finding Multi-Million Pound Errors, one alone involving £42m pounds. The draft accounts, presented to the auditors in July, showed a surplus of £15.5m when they should have shown a deficit of £21.5m. The auditors found basic errors such as including grant income before any claim had even been submitted. They also found that assets had been double-counted.

The auditors report said that “the draft accounts were of poor quality and incomplete”, and they have made 19 heavyweight, detailed recommendations for urgent improvement in the financial management of the local authority.  As of today several significant problems remain unresolved and the accounts will not be approved by the external auditors within the published deadline.

Brian believes it shows incompetence at the heart of the Conservative administration. “This is appalling! In the dry, measured auditor’s language, KPMG have exposed incompetence at the heart of the conservative adminstration of Wiltshire Council. It is hardly surprising that the Tories have just had to admit to a £3.8m projected overspend. How can the people of Wiltshire believe any financial figures the conservatives produce. The conservatives cannot blame this on the government, nor bleat that Wiltshire County Council no longer exists. Wiltshire Council has the same leadership as Wiltshire County Council, the same basic organisation and the same Tories at the very top.“

Extracts from the auditors report:

“In particular, the Income & Expenditure Account contained several errors. The effect of correcting these
resulted in a material effect on the deficit for the year. In the version submitted to the Audit Committee a
surplus of £15.5m was reported but in the latest corrected version this result has fallen by £37.0m to
change to show a deficit of £21.5m.”

“Additionally two of the primary statements, the Cash Flow Statement and the Statement of Total
Recognised Gains and Losses, were not included in this first draft. The Cash Flow Statement and
supporting notes are still not included in the accounts.” (my emphasis).

“The quality of this first set of accounts was very poor, especially given that a specific recommendation
was made in our 2007/08 Report that the Statement of Accounts should be subject to thorough review
before submission for audit.”