Agenda item

The Leader introduced the next item to Cabinet Member colleagues, which was an update of the Council’s Corporate Risk Register for the end of Quarter three (31December 2020).

Members were asked to consider the contents of the report and note the changes to the Council’s Corporate Risks.

The Council’s Risk Management Policy and Corporate Risk Register enabled this administration and officers to effectively identify, manage and monitor the risks which could prevent the Council from achieving its objectives in the Corporate Plan (2017-22) and undertake its statutory duties as a local authority.

The Quarter three risk report would also be presented to the Council’s Audit Committee at the end of March to review the Council’s risk management process and governance arrangements.

At the end of quarter three the Council had 52 risks recorded across the Council’s eight service areas.  Those risks that were deemed to pose the most significant risk in the delivery of the Council’s Corporate Plan and services were escalated to the Council’s Corporate Risk Register for monitoring. 

At the end of quarter three 18 risks were recorded in the Corporate Risk Register:

·         Ten Severe Risks (15 to 25);

·         Six Major Risks (7 to 14); and

·         Two Moderate Risks.

One risk (Pressure on Housing Risk) was closed in quarter three as it was amalgamated with the Pressure on Homelessness Risk (in the Corporate Risk Register).  This was in response to the close links between both risk areas and the mitigating actions that the service area (including partners) was taking to support people and families needing affordable and secure housing in the City. 

In addition, quarter three of the Corporate Risk Register had seen two risk scores increased, three decreased and 13 risks remained at the same score in quarter two.

In relation to the demand for Additional Learning Needs (ALN) and Special Education Needs provision (SEN) (Risk Score 12 to 16), this risk score increased from 12 to 16 as the service had seen a growing number pupils with complex needs entering schools due to the pandemic.   Special schools and primary Learning Resource bases were at capacity and the ALN implementation group would reconvene in the spring to review SEN funding to schools.

Newport Council’s Property Estate (Risk score increased from 8 to 12).  The Council’s partners Newport Norse had undertaken condition surveys of its operational estate and identified increased number of works that were required to repair and maintain the condition of its assets.

The post transition Brexit (Risk score decreased from 16 to 12), following the approval of the trade agreement between the UK and the EU.   There remained however risks to the post Brexit arrangements to ensure EU Citizens living in the UK applied for EU Settled Status by the 30 June deadline. 

Additionally, the economy remained in a precarious position due to Covid and the implementation of the new trade arrangements, which could impact on the short to medium term stability of the economy, labour market and consumer confidence.

Education Out of County Placements (Risk score decreased from 12 to 9), this budget was very carefully monitored on a monthly basis.  Additional local placements were commissioned from Newport Live and Catch 22. 

Plans were being developed to expand Ysgol Bryn Derw to provide additional Foundation Phase placements.

Schools Finance / Cost Pressures (Risk score decreased from 16 to 12).  Total sector budgets were now £2M in surplus due to schools being closed for prolonged periods of time.  Without careful budget management however, schools were still at risk of developing deficit positions. The total number of schools in deficit remained the same.

Comments from Cabinet Members:

Councillor Rahman, as Cabinet Member for Assets gave a brief background information on this and referred to a survey conducted in 2019 on the Council’s property estates and although we were hit by pandemic, the team had been proactive during lockdown.  Issues were identified on buildings such as schools and corporate buildings with similar findings to that of the leisure centre.  Building Regulations and Health and Safety Regulations had also changed since many of these properties were built therefore safety of the residents were of the utmost importance and finding alternatives was being considered.  The risk was being mitigated and managed by using funding from the capital maintenance programme of £1.5M per annum.  The Cabinet Member was also having regular meetings with the estates team to keep updated on any issues.  It was therefore not a surprise that the property score risk and increased but this being identified.  Other sources of funding were also being sought from WG with Norse partners.  It was therefore important that the council invested heavily into maintaining the safety of schools for children going forward, hence the provision of £5M from the recent budget.

Councillor Jeavons referred to the risk concerning the major works being carried out recently due to ash die back disease to trees in Caerleon area and City Services were looking at other areas of Newport to address this.  There was similar risk across Wales and therefore it was important that this was addressed.

Councillor Mayer referred to the risk area surrounding digitisation issues.  The digital programme has significantly improved since the pandemic including enabling staff to work from home.  There would always be cyber risks such as phishing attacks and computer viruses, which unfortunately went with the territory.  It was therefore good that the risk was red, as it kept the us on our toes to stay one step ahead.

Councillor Harvey was pleased to see the education portfolio move from red to amber and thanked the Chief Education Officer for her hard work, as well as school staff.

Councillor Cockeram referred to stability of social services providers which was a possible risk due to minimum wage pay of Domiciliary care providers which meant that there was a high turnover of staff.  The WG needed to make it a more of a professional employment and this should be a priority.  The real living wage was also hopefully a step in the right direction.  Other pressures in social services were on adult services; as previously mentioned people were living longer and dementia was on the increase.  Elderly residents and family were also favouring home care packages which were not cheap; up to £1K per week, people therefore needed to be aware of the cost implications.  Pressure on delivery of children services being reduced due to homes such as Rose Cottage, reducing children being homed out of area and being brought back to Newport.  There would also be a high volume of referrals due to the pandemic.

The Leader concluded by adding that she was proud of the work in Newport in terms of modernising services and making buildings fit for purposes in the 21^st Century and was bowled over by refurbishment of property for children within Newport providing them with the security of a real home.

Decision:

That Cabinet was asked to consider the contents of the quarter three update of the Corporate Risk Register