Guildford Borough Council has appointed Richard Bates as interim section 151 officer following the authority’s warning that it could be in section 114 territory.
A report presented at an extraordinary meeting of the council on 30 August outlined that Bates was appointed as interim executive head of finance at Guildford Borough Council on 17 July. However, to approve the s151 element of his role a vote of the full council was necessary.
At the meeting, members agreed to appoint Bates as Guildford’s s151, making him the authority’s fourth chief financial officer in the past two years.
His appointment also comes just a month after Guildford Borough Council warned that it faces a section 114 notice in the future due to the increased cost of financing its £300m borrowing debt.
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Fourth s151 in two years
At the extraordinary meeting of the council, members questioned why Guildford has had so many chief financial officers in the past two years.
In response, Tom Horwood, Guildford’s chief executive, said: “Richard Bates will be the fourth section 151 officer over the last couple of years. I would stress that over that period of time we have had two permanent recruits and two interim recruits. Given that these are senior roles, when there is a vacancy, it takes time to permanently recruit, therefore it is not unusual to have an interim in that role.
“None of these things in themselves are a concern. My concern at the moment is that we as a council show that we are robust, resolute and still attractive to senior accountants in the local government sector of calibre, who would therefore wish to work for us.”
The council report highlighted that Bates will also act as interim executive head of finance and section 151 officer at Waverley Borough Council. This is due to both Guildford and Waverley having a joint management team compromising of chief executives, directors and heads of service.
Bates has worked as an interim local authority finance director and consultant since 2019. Prior to this he worked at Dorset County Council as chief financial officer and scheme administrator for the Dorset Pension Fund from 2014 to 2019. He also worked as Dorset’s head of financial services from 2012 to 2014.
Bates has been employed by Guildford on a six-month contract whilst the authority recruits a permanent employee. He succeeds Peter Vickers, who was appointed as joint section 151 officer for Guildford and Waverley councils in September 2022.
Concerning financial position
In his last month working at the council, Vickers sparked concern over Guildford’s future financial position as it faces a projected budget deficit of £18.3m in its medium-term financial plan, which will need to be plugged through savings and the authority’s reserves.
In addition, he stressed that the council has financed a “significant element” of its capital programme using short term loans, which has increasingly become a “high risk strategy” as it has exposed the authority to current high interest rates.
Vickers explained in July that whilst the issuance of a section 114 notice was not necessary at the time, the council’s debt financing concerns have meant that it will need to be “reconsidered” at a meeting of the council in October.
According to a spokesperson at Guildford Borough Council, Peter Vickers has now joined Rushmoor Borough Council.
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