Powys councillor criticises plan to scrap Finance Panel saying it is not in the public interest
A Powys councillor has criticised proposals to scrap the council’s Finance Panel, claiming the move would weaken scrutiny of how millions of pounds of public money is spent.
Powys County Councillor Aled Davies has expressed deep frustration and concern following the Executive’s decision to abolish the Council’s Finance Panel — a body whose responsibilities are clearly defined in Powys County Council’s own Constitution and which plays a critical role in safeguarding the integrity of the Council’s financial planning.
The council says the panel’s functions are now being carried out through its existing scrutiny committees, the Governance and Audit Committee and the cross-party Budget Advisory Group.
It is proposing to remove the Finance Panel from the council’s Constitution.
However, the proposal still needs to be considered by the Democratic Services Committee before going to Full Council for a final decision on October 8.
The Finance Panel’s Terms of Reference set out a comprehensive and robust scrutiny function.
The Panel is responsible for examining the Medium Term Financial Strategy (MTFS), testing the evidence base behind the annual budget, reviewing draft budget proposals and impact assessments, scrutinising financial risks, and providing independent, evidence based recommendations to Cabinet.
It is the only body within Powys County Council tasked with strategic financial scrutiny.Despite this, the Cabinet has chosen to remove the Panel from the constitution.
Councillor Davies said the decision demonstrates poor judgment and reflects a worrying shift away from transparency and accountability.
He said; “The Finance Panel exists to protect residents by ensuring Powys County Council’s financial decisions are based on evidence, realism, and proper scrutiny.
“Cabinet and senior officers have continually undermined the Panel already by withholding key financial information from the Panel. It weakens oversight, reduces transparency, and undermines public confidence in how the Council manages taxpayers’ money.”
The Panel’s functions are not duplicated elsewhere in the Council’s committee structure.Councillor Aled added: “This decision leaves Powys without any dedicated mechanism for strategic financial scrutiny. No other committee covers these responsibilities.
“The Cabinet is effectively removing independent challenge at the very moment when financial pressures on local services are at their highest. Residents deserve better than opaque decision making and weakened democratic oversight.”
The Cabinet’s report references the Budget Advisory Group (BAG) as an alternative forum for financial discussion.
However, BAG is not part of the Council’s constitution, is controlled by Cabinet, and has no formal scrutiny powers. It cannot require information, cannot issue recommendations to Full Council, and is not politically balanced.
Crucially, the independent PPA report recommending abolition makes no reference to BAG at all, raising further questions about the robustness of the Cabinet’s decision.
Councillor Aled concluded: “Replacing a formal, politically balanced scrutiny panel with an informal, Cabinet controlled group is not good governance. It is not transparent, it is not accountable, and it is not in the public interest. Powys residents deserve a council that welcomes scrutiny, not one that dismantles it.”