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A simmering row over Comprehensive Area Assessment burdens boiled over this week, when the Audit Commission hastily dismissed Local Government Association claims that inspection costs are ‘climbing'. LGA officials published a series of CAA ‘case studies' on 17 March, claiming only one out of five councils featured in their analysis has seen a ‘significant reduction' in inspection-related costs under the fledgling area-based assessment. "The costs of the current CAA regime are unsustainable. Whatever researchers say about the performance of CAA, our own in depth analysis clearly shows the costs are climbing for at least some authorities." David Parsons, chairman of the LGA's improvement board Smith Square researchers reported ‘one council has seen costs more than quadruple under the new regime, while the burden has doubled for a second authority'. David Parsons, chairman of the LGA's improvement board, warned: ‘The costs of the current CAA regime are unsustainable. Whatever researchers say about the performance of CAA, our own in depth analysis clearly shows the costs are climbing for at least some authorities.' But Audit Commission chiefs questioned the independence of the LGA's research, and immediately published two ‘independent' studies based on ‘baseline research with 40 councils'. The commission claimed one study, by researchers OPM, ‘shows overall costs to councils has reduced by at least 15%'. The Commission suggested inspection-related costs for large councils have reduced significantly, but acknowledged costs for districts have ‘gone up by approximately 5%'. A senior Commission sources said watchdogs ‘don't recognise any of the other figures in the LGA chats with five councils'. Instead, Michael O'Higgins, Audit Commission chair, said he was confident inspectorates and those delivering services could ‘reduce the costs of preparation in year two'. A CLG spokeswoman said the LGA ‘failed to recognise' the results of independent evaluations. ‘We will continue to look at how to make assessment even more effective and streamlined,' she added. Click here for the LGA's perspective on year 1 CAA. Also click for CAA reports by Shared Intelligence and the Office for Public Management

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WHITEHALL

Commission rejects claims of rising inspection costs

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