AN independent investment advisory panel to review the council’s commercial programme is set to cost more than £100,000 a year to ‘set up and run’.

On Thursday, a report came before the council’s audit and corporate governance committee to update it, and seek the views of members, on the council’s action plan to implement the recommendations of the review – commissioned by the Department for Levelling Up, Housing and Communities (DLUHC), and carried out by the Chartered Institute of Public Finance and Accountancy – of the council’s capital risk.

The recommendations include that an independent investment advisory panel of commercial experts be recruited to review the council’s commercial programme.

According to the report to the committee, after market testing it is ‘forecast based’ that the panel will cost ‘in the region of £100k+ per year to set up and run’, while consultancy costs will also be ‘incurred in setting up a scenario model’.

In the report, it said: “In order for the report recommendations and the wider DLUHC situation to be effectively managed it’s vital that clear lines of open book communication are put in place between the council and DLUHC.”

However, it stated currently a ‘communication vacuum’ exists, with the DLUHC ‘calling bespoke meetings at short notice without any resolution taking place’.

It added: “To manage this agenda it’s vital that regular diaried meetings take place to discuss progress and discuss wider policy issues such as future borrowing for the capital programme.

“It’s recommended that the Section 151 Officers contacts DLUHC to discuss getting up a formal communications strategy.”

The council has confirmed that it has sent a draft terms of reference to the DLUHC and is awaiting a response.

In relation to the recommendation for the panel to be set up, the council said the expectation was for this recommendation to be implemented within six months of receiving the report – with the report published on May 8, so six months would be early November – however, due to the General Election it is still awaiting comments from the DLUHC on the draft terms of reference for the panel.

A council spokesman said: “The audit committee discussed the recommendations and the draft action plan, and their comments will be fed back to cabinet to make a final decision on what and how to implement.”

At its meeting on Monday, a report will come before the council’s cabinet to update members on the views of the audit and corporate governance committee – the cabinet is recommended to consider the views of the committee on the action plan, and to adopt the action plan.