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FINANCE

Council staff warn fraud is a major risk for local government

Two-thirds of local government professionals think fraud is a major risk for councils, a new survey has revealed.

Two-thirds of local government professionals think fraud is a major risk for councils, a new survey has revealed.

Research published by the Chartered Institute of Public Finance and Accountancy (CIPFA) also showed seven out of 10 professionals believe poor organisational controls leave local authorities vulnerable to fraudsters.

Nearly half (49%) warned staff were not adequately trained to identify fraudulent activity.

CIPFA chief executive officer, Rob Whiteman, said: ‘Fraud, bribery and corruption are constantly evolving threats that undermine financial resilience and put even greater pressure on public services at a time of crisis.

'The increased strain on resources and governance as a result of COVID-19, and the prevalence of technology-enabled frauds, compound these threats even further.'

Head of counter-fraud operations at CIPFA, Marc McAuley, says we must learn from past mistakes.

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