For local government organisations, total income is largely driven by central government grants, business rates and council tax receipts.
With restrictions on increases in these areas, costs in other areas have understandably been closely reviewed, and counter fraud teams are often reduced as a consequence, although this may have been in the context of an inadequate cost benefit analysis.
Where fraud risks have not been fully assessed and likely losses unmeasured, many organisations, and not just those in the local government community, have taken the view that counter fraud is an easy target for savings.
The UK Government is planning a big change in corporate law, making boards criminally liable for certain offences perpetrated by their employees that will include fraud. This briefing addresses how this might affect the local government sector.