Issue - meetings

RECEIVED the report of the Executive Director Resources, introduced by Julie Barker, Head of Exchequer Services, and James Newman, Director of Finance – Corporate.

NOTED

1.    The Council’s purchase cards (P-cards) were confirmed as a tool for small spend items, used mostly by frontline services. The internal audit of the P- card process in 2021, subsequent additional measures to improve the level of compliance, and the review undertaken in summer 2022 were described. The changes implemented would ensure improved compliance and controls going forward.

2.    In response to Members’ queries, it was confirmed that investigations were ongoing further to the 2021 audit report. Data was being analysed to detect trends. It was advised that fraud was rare as opposed to the norm. Having P-cards was a common practice in local authorities, managed in an appropriate way.

3.    The table at para 3.8 in the report was based on transaction numbers, but officers would supply data on the spending amounts involved. Members also asked for information from the last three months, following introduction of the reforms, of actual spend per month by each directorate.

ACTION:  Julie Barker

4.    It was confirmed that within the pooled system it was registered by whom the P-card was used. There had been a challenging review of all cards in circulation. Non-compliance would now result in cards being suspended. Suspension after two consecutive months of non-compliance was appropriate as some cases related to an approver being on sickness or annual leave.

5.    In response to Members’ further queries, it was confirmed that non-compliance had been investigated. Approvers had given reassurance where payments were authorised and retrospectively approved.

6.    Members asked about the transactions which were noted as not having been reviewed by the card holder. It was confirmed that investigation work was done by the counter fraud team, and further information for Members would be requested from that team.

ACTION:  Julie Barker

7.    It was confirmed that P-card usage in Enfield was similarly comparable to other London boroughs. Examples of frontline service use were described, and that there was no facility to take out cash on the cards.

8.    It was advised that officers were looking at the card contract going forward and investigating alternatives to the current cards.