Critical report led to serious Highland Council reforms

ONE of Highland Council’s top officials has exclusively explained how the local authority has responded to a Deloitte report that was highly critical of some aspects of financial management.

The report stated that the council’s approach to service income – basically fees paid to the council – were “without rationale or justification” but as head of revenues and customer services Allan Gunn explained it was pivotal to some reforms.

It means the council will now be tougher on the late payment of fees for facilities or services and aim to get debtors to set up direct debits.

Mr Gunn said: “The review’s report was considered by the council’s redesign board in February as part of its robust internal governance process to apply a detailed challenge to the report including to those involved in its production. The final report was then presented to all council members at the Highland Council meeting on March 7 2019 where the recommendations were approved.

“The recommendations include to apply statutory interest and a late payment fee where an invoice is not paid within agreed terms and conditions, for commercial customers only.

“Highland Council pays its creditors promptly, over 96 per cent in 2018/19. Yet only 53 per cent of its customers pay the council on time. Timeous payment of income due to the council will ensure the council will not require to apply such late payment penalties, result in higher income collections and a lower bad debt provision required to be met by the council.”

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