GBC Improvement Plan ‘Fit for Purpose’ But ‘Significant Risks and Challenges Remain’

Published on: 19 Sep, 2025
Updated on: 22 Sep, 2025

By Emily Dalton

local democracy reporter

Guildford Borough Council says it is getting its house in order after being warned last year it was at “serious risk” of failing in its legal duty to deliver value for money. But challenges remain, with housing, finances and local government reorganisation still posing major risks.

Guildford Borough Council’s Improvement Plan, drawn up after damning reviews by SOLACE in 2024, was designed to fix long-running governance, housing and financial problems.

An Independent Assurance Panel, set up to keep tabs on progress, has now delivered its second verdict: the plan is “fit for purpose” and progress has been made.

That progress includes closing the council’s accounts on time two years in a row, agreeing a balanced budget for 2025/26, and reshaping housing services after years of poor performance.

An internal audit even gave the council’s governance framework a “substantial assurance” rating.

Cllr Julia McShane

Council leader Julia McShane (Lib Dem, Westborough) said: “The risk that the council could fail to deliver its best value has diminished significantly. The council is still facing a range of risks that we must continue to manage and to mitigate.”

She told an Overview and Scrutiny Committee on September 16 that: “We can be proud of the progress we have made so far.”

But the panel has also warned that improvement must be sustained, particularly in housing, and that Surrey’s looming local government reorganisation could throw everything off course.

The panel warned the council is still relying on an outdated IT system that does not link up properly with finance and housing applications, while more than half of housing managers are interim staff. The council said it has a plan in place and is working on integrating systems.

Contract and supplier management was highlighted as another major risk. But officers told the committee the council now has a contract data base and has set up a task force to double check every contract spend in the organisation.

At the same time, the council’s latest financial monitoring report paints a worrying picture. Officers are projecting a £1.4 million overspend this year across the General Fund and Housing Revenue Account. Parking income is falling short, housing repairs are costing more than expected, and inflationary pressures are biting again.

Weyside Urban Village: financial risks remain.

Reserves, the council’s financial safety net, are in a better place than they were two years ago, sitting at around £17.7 million. But relying on them to plug gaps is not a long-term solution. A report to councillors warned: “The delivery of the Improvement Plan requires continued effort, dedication and collaboration from both Members and Officers. Risks remain.”

The Independent Panel also highlighted risks around Weyside Urban Village, the council’s flagship housing scheme, where the predicted deficit has increased. The council is now considering “a range of options” to limit the financial damage.

Taken together, the reports show Guildford council is no longer on the brink of collapse either financially or in terms of delivering best value services. But the big questions hang over reputational projects, housing regulations, financial pressures and local government reorganisation.