Havant Borough Council will introduce more staff training after it admits £16.6m was spent 'unlawfully'
The cabinet has accepted a remedial
action plan to address the issue
Havant Borough Council is
introducing an enhanced programme of staff training after
council officers identified that £16.6million has been spent
“unlawfully” on emergency accommodation for homeless people.
A review undertaken by the officers
“has not identified documentation evidencing compliant
procurement of contracts” for payments made to providers of
emergency accommodation and related services from 2019 to
July 2026.
At a meeting of the council’s
cabinet on September 23, members were told that the council
had sought “independent, external legal advice” to examine
the findings.
A remedial action plan has also
been developed, including the new programme of staff
training, and was accepted by the cabinet.
Leader of Havant Borough Council,
Councillor Gillian Harris MBE, said: “As a council, we have
a statutory duty to provide emergency accommodation for
homeless people in our borough, often at short notice and in
difficult circumstances.
“I believe we’ve sought to do this
to the best of our ability and to meet the needs of
vulnerable, homeless people, all within a very challenging
budgetary environment.
“The reality though, is that we
need to be able to evidence that we’ve done this properly
and that we’ve also worked to use our resources efficiently
and to achieve the best value accommodation. The lack of a
clear procurement framework for the period during which this
service was outsourced means that we can’t provide that
evidence, and we need to ensure that we put that right.
“As a Cabinet, we accept the review
and acknowledge that significant improvement must happen to
ensure we have a compliant procurement system going forward
so residents can be confident that value for money is being
achieved, expenditure is fully documented and monitored, and
our processes are transparent and fair.”
“I am confident that the Council’s
response is both measured and robust, reflecting the
seriousness of the matter and the importance of taking
action that is proportionate and effective,” said Councillor
Netty Shepherd, Deputy Leader of the Council.
“ The matter, together with the
Council’s proposed response, has been subject to independent
scrutiny by King’s Counsel, who identified no further steps
for the Council to take. Cabinet has reinforced that
assurance by strengthening democratic oversight, with
regular progress reports to the Governance Committee
providing an ongoing and transparent means of scrutiny and
accountability.
“Cabinet are reassured that the
changes made by bringing the service in-house last year have
led to a much more robust procurement function within HBC,
which has been demonstrated by this matter being brought to
our attention.”
Councillor Terry Norton, who
represents the Stakes ward for Havant Borough Council, said:
“We welcome the fact that the council has finally identified
the problem and is putting measures in place, but we don’t
think an enhanced programme of staff training should be
allowed to become the end of the story.
“A lack of proper procurement is a
significant governance failure. In this case, one that took
place over a number of years, involving substantial public
expenditure, and residents are entitled to ask how it was
allowed to continue for so long without being identified.
“There is also an important
distinction between officer training and political
accountability. Councillors are elected to provide oversight
and scrutiny of the authority. If significant expenditure
can continue for years without the proper framework being in
place, then questions have to be asked about what political
oversight existed, what information members were receiving
and whether those responsible for leading the council were
asking sufficiently robust questions.
“The current Liberal Democrat,
Labour and Green administration cannot simply present this
as an historic officer issue and move on.
“Residents should expect
considerably more than an assurance that staff will receive
additional training.”
Havant Borough Council
25th September 2026

