Question to the Department for Levelling Up, Housing & Communities:

To ask Her Majesty's Government what assessment they have made of reports of appointments of councillors who lack specialist knowledge being appointed to the boards of council-owned companies.

The Ministry of Housing, Communities & Local Government is clear that councillors serving on company boards need particular skills, experience and training, as identified, for example, in the Public Interest Report issued by Nottingham City Council’s external auditors on 11 August 2020. This Public Interest Report followed the identification of serious issues associated with the council’s private energy company Robin Hood Energy.

On 17 December the Secretary of State published a response to the rapid non-statutory review into Nottingham City Council commissioned on 2 November. In his response, the Secretary of State acknowledged the review’s recommendation that the Department publish sector guidance on council-owned companies. This is being considered and an announcement will be made in due course.

Nottingham City Council's non-statutory review report and Secretary of State response can be found (attached) here: https://www.gov.uk/government/publications/nottingham-city-council-rapid-review