Leadership critical to culture change at WICS
Collective leadership is needed to create a culture of good governance and effective management after failings at Scotland’s water regulator.
The Chief Executive of the Water Industry Commission for Scotland resigned in December 2023 after the audit of its 2022/23 accounts found unacceptable use of public funds by senior officials. The Chair of the Commission’s Board stepped down in October 2024.
Auditors have now found a range of additional spending that did not meet public sector spending rules in the first nine months of the 2023/24 financial year. This included £75k on:
- Consultancy costs (£19.5k) and a King’s Counsel retainer (£24k)
- Travel and subsistence (£23.7k)
- Un-itemised expenses (£7.5k)
A further £20k, mostly on business class flights, was found to have been unlikely to represent value for money. However, no instances of inappropriate spending were identified after December 2023.
In a separate judgment, auditors also said more time could have been taken to consider other options for the departure of the former Chief Executive, which cost the public purse £105,488.
Stephen Boyle, Auditor General for Scotland, said:
This has been a challenging year for the Commission. Action has been taken to address the issues I highlighted, with significant work underway to improve leadership, governance, and culture.
The success of that work will depend on all parties - Board members, senior management, staff, and the Scottish Government - working together to move the Commission into a stronger place in delivering its regulatory role.
