Agenda item

Context:

To receive an overview of the current strategic risks facing the Authority as outlined in appendix 1 of the report.

Key Issues:

The existing risks on the Strategic Risk Assessment have been updated based on evidence available in 2016.   Changes to the Council’s risk management policy were approved by Cabinet in March 2015 and continue to be applied to the strategic risk register.  These are:

·                Including pre-mitigation and post-mitigation risk scores. This was also a key recommendation from scrutiny of the 2014 risk assessment.

·                Ensuring greater clarity to the phrasing of risk so that each statement includes an event, cause and effect.

The risk assessment only covers high and medium level risks.  Lower level operational risks are not registered unless they are projected to escalate within the three years covered.  These need to be managed and monitored through teams’ service plans.

Following presentation to the select committees and Audit Committee, the risk assessment will be presented to Cabinet for sign off. The risk assessment is a living document and will evolve over the course of the year as new information comes to light.

Member Scrutiny:

·         It was noted that prior to being presented to Cabinet  in February 2017, a further two risks are being considered to be added onto the Register, namely, the potential risk around database breeches and access to the Council’s network externally and also around business rate revaluations.

·         In response to a question raised regarding housing need in Monmouthshire becoming a strategic risk, it was noted that this was an important issue and was being addressed via the Local Development Plan.  However, if these trends continued then the matter could be identified as a potential risk.

·         In response to a Select Committee Member’s question regarding broadband rollout being provided by housing developers, it was noted that this was not a matter for developers to provide.  The Authority needed to continue to press the Welsh Government to undertake this matter throughout Monmouthshire.  However, it was noted that there was opportunity with regard to the trunking of new properties being fibre enabled going into these new premises which will significantly increase the broadband speed.

·         It was noted that the Welsh Government has opened a consultation process to inform the next round of funding regarding broadband infrastructure.  An update from Welsh Government to the Select Committee in June 2017 will be required to explain to the Committee the latest position regarding this matter and when the work is likely to be completed. This matter to be put onto the Select Committee’s work programme.

·         In response to a question raised regarding financial risk to the Authority, it was noted that this matter and potential uncertainty around this matter was covered in the risk register.

·         Appendix 1 ref. 2, some services may become financially unsustainable in the short to medium term as a result of reducing budgets and increasing demand – it was noted that in terms of mitigating action that has been put in place, projections are that if these are successful then there is potential to lower this risk.

·         In response to a Select Committee Member’s question, it was noted that in terms of the ‘mitigation already undertaken column’ of the register, this reflects the progress made against previous actions taken on the risk register.

·         Security arrangements are facilitated via Gwent Police in conjunction with the Shared Resource Service (SRS).  The SRS is assessed on an annual basis to ensure that the requisite security arrangements are in place.

·         Local Government Reform – Risk 1 – awaiting the white paper from the Minister.

·         It was noted that major legislation needed to be identified within existing risk going forward.  Scrutiny Committees could receive an annual update around potential forthcoming legislation.