Agenda item

Report of the Deputy Chief Executive (Place)

The Audit and Procurement Committee considered a report of the Director of Finance and Corporate Services, which set out the outcome of the review of the Corporate Risk Register 2020-21.

The report indicated that local government had been operating in a challenging environment of substantial budget cuts and major policy change.  There was concern that pressure would continue on the level of available revenue resources to manage spending levels.  In addition to reducing resources, there were demographic challenges leading to increased demand for services whilst quality must be maintained.  The pace of change and the scale of the challenges required the Council to regularly assess its risk profile and implement suitable controls to manage these.

The Committee’s terms of reference require it to monitor the effective development and operation of risk management with in the Council.  The Council’s Risk Management Policy and Strategy identified that the Committee would receive risk management reports to assist it to provide independent assurance of the risk management framework and associated control environment.

The Risk Register appended to the report had been reviewed in consultation with the Senior Management board and the allocated Risk Manager. It identified the main risks facing the Council, the planned risk treatment, the progress made to date, where responsibility lay for the Council’s response and the risk control status using a traffic light system.

The Committee noted that the report covered only those risks that were viewed as the most critical for the Council and which were considered at a corporate level.  Risk management activity continued at other levels throughout the Council for dealing with those at a lower level.

The corporate risks set out in the appendix to the report fell into two separate categories:

·  Operational / Business as Usual – those risks that could affect the underlying and fundamental operations and structure of the Council:

o  CR 001   Finance

o  CR 006   Health and Adult Social Care

o  CR 007   Safeguarding / Protecting Vulnerable Adults, Children and Families

o  CR 013   Combined Authority for the West Midlands

o  CR 014  Information Governance

o  CR 016  Failure to comply with Health and Safety Legislation

o  CR 020   Brexit

·  Specific / Project – those risks that could affect specific projects or the major change initiatives to how we operate:

o  CR 002   Sky Blue Sport and Leisure

o  CR 003   ICT Infrastructure and Change

o  CR 005  Workforce Strategy

o  CR 011  Friargate Business District

o  CR 017  City Centre South

o  CR 018   Coventry Station Masterplan

o  CR 019   Homelessness and Temporary Accommodation

The Committee noted that items CR 019 and CR 020 had been added to the Risk Register since the previous report was considered.

In considering the information provided within the Register, the Committee indicated that it would be helpful if the name of the risk manager was included rather than the job title in order to provide clarity over who was responsible for particular risks.

The Committee expressed their concern over a number of the risk ratings within the appendix, including CR 002 (Sky Blue Sports and Leisure), CR 003 (ICT Infrastructure and Change), CR 011 (Friargate Business District), and CR 017 (City Centre South).  The Committee debated at length how and why these risks were at the level they were and to assist with the understanding of how risk levels were achieved, it was agreed that a copy of the current risk matrix be circulated to members of the Committee.

The Committee highlighted a significant concern regarding risk CR 020, relating to Brexit, in light of the uncertainty of the impact that Brexit would have on the City.  The risk level had been assessed as amber, with a number of Committee members believing that this should have been red.  The Committee were advised that there were regular meetings of the Brexit Preparatory Group and whilst updates were being received from Government, there was a limit to what the Council could do until the situation was clearer.  It was acknowledged that this particular risk may need to be re-evaluated within the next two to three months.  It was agreed that a position statement be circulated to the Committee setting out the current situation in relation to the Council and Brexit preparations.  It was also agreed that the Committee’s suggestion that the risk be rated as red be considered and a further report submitted to Committee.

RESOLVED that, the Audit and Procurement Committee:

1.  Note the current Corporate Risk Register, having satisfied themselves that Corporate Risks are being identified and managed.

2.  Request that the suggested red rating for Risk CR 020 relating to Brexit be considered and a further report be submitted to the Committee on this matter.