Supplementary Memorandum by the Audit
Commission (AC 11(a))
VALUE FOR
MONEY INDICATORS
Following the publication of selected national
value for money studies the Commission tracks progress in audited
bodies with a number of indicators. Typically we would assess
the impact of a study two to three years after the local audit
has been carried out. The Commission has tracked the impact of
fourteen national studies. Of these, eight have shown a general
improvement, four some improvement and two little or no improvement.
The Commission tracked local progress following
the publication in 1992 of Getting in on the Act, which
looked at special educational needs. The report recommended that
children with moderate special needs could be taught in mainstream
schools if their parents wished it, delays in processing assessments
should be reduced and that authorities should adopt consistent
policies for assessing needs. Tracking showed that the proportion
of children with statements educated in mainstream schools had
risen from 40 to 55 per cent and that the percentage of assessments
issued within the 18-week target improved from 40 to 48 per cent.
The Commission tracked four indicators about
the collection of council tax: the collection rate, speed of billing,
arrears follow-up and the cost of collection. This showed that
collection rates and the speed of billing had improved, that the
time between missed payment and follow-up had fallen from 25 to
21 days and that the cost of collection had remained unchanged.
Overall, this was a positive improvement.
It is of course hard to isolate the impact of
the Commission in achieving change locally from other factors.
There are a number of factors that may have a bearing on whether
an audit achieves change. In addition to the ability of the auditor
and the quality of the underlying research these include: government
policy; the attitude of national organisations; the scope of the
study and the extent of the organisational change that would be
needed to implement the recommendation; the management competence
of the audited body; and the relationship between the audited
body and the auditor.
The attitude of professional groups and staff
associations can have a major impact on achieving beneficial change.
For example the study on day surgery was carried out with the
strong support of the Royal College of Surgeons and was widely
supported in the NHS.
Furthermore studies vary in their scope. Some
changes, such as those relating to controlling water consumption,
may be easier to implement than those that affect a front line
service such as A&E.
The purpose and audience for each study is slightly
different. Some audits have been designed to help audited bodies
meet the challenges of new legislation. For example, the study
of financial support services was designed to help local authorities
improve efficiency to meet the challenge of Compulsory Competitive
Tendering. In other cases, the study has influenced central government
policy. For example: promoting care plans for mental health patients;
moves to clarify criteria for special educational needs; and dealing
with young people who come into trouble with the law. However,
even when the recommendations of a study relate to the impact
of government policy, this may still stimulate local change.
March 2000
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