THE government has rejected a plea from Thurrock residents, backed by unanimous support from borough councillors, for a full independent public enquiry into the collapse of Thurrock Council's finances.

Local government minister Simon Hoare has written to the leaders of Thurrock Council's political and independent groups explaining why he has turned down the request.

In his letter, he says: "I understand the strength of feeling in the local community about the failings of Thurrock Council that led to a local petition and council motion.The government's concern about the scale of the council's financial and commercial risks is exactly why we took swift action to appoint commissioners and launch a best value inspection in September 2022.

"The report included a review of the council's investment strategy, financial difficulties, leadership, culture and governance and included a series of recommendations that the council needed to address to achieve best value for its residents.

"I believe the ongoing intervention and the best value inspection provide the best approach to understanding and tackling the issues Thurrock Council face.

"Furthermore, we will continue to closely monitor financial and commercial risk in the sector and take action where necessary.

"I share your interest in ensuring the best possible authority and services for the people of Thurrock."

The full letter can be viewed via this link.

Mr Hoare has recognised that there is a current probe into the activities of former senior finance officer Sean Clark, saying: "There is an on-going investigation by the Financial Reporting Council (FRC) into a former member of a professional body in relation to Thurrock Council's operations and investment activities for the financial years ended 31 March 2018 to 31 March 2022.

"It is right that external bodies are able to undertake such investigations as they consider necessary, and we would welcome any agencies undertaking such investigations."

The FRC is an accountancy professionals' watchdog which has few powers of 'punishment' and its aim is to 'hold to account shortfalls in performance'. Should it find any criminality, it is obliged to report to police but has little legislative authority itself.

News that the government has rejected the appeal for an inquiry has angered local people who campaigned for it and raised two substational petitions calling for an inquiry.

Stanford-le-Hope resident Kabul Sandu was at the forefront of the call for a full independent probe, and twice addressed councillors in the civic chamber about it.

He helped organise the petition which led to the council motion calling for a public inquiry and which prompted a U-Turn from local Conservatives. 

Today (Tuesday, 26 March) Mr Sandu said: "We're very disappointed with the Secretary of State's response.

"He has let down the residents of Thurrock who have seen soaring council rates and service cuts as a consequence of the council's financial actions and inactions.

"Proper scrutiny and accountability have been avoided.

"Perhaps a change in local and national governance may lead to a long needed public cleansing of this shameful, shoddy episode in the life of Thurrock."

Labour group leader Cllr John Kent told Nub News: "This is a very disappointing, though not unexpected decision. If there is any consolation in what is a clear snub to the wishes of the people and councillors of Thurrock, it is that Mr Hoare has acknowledged 'other agencies' can come forward and 'their interest will be welcomed'.

"We will have to look and see what the immediate future brings, which will hopefully be the opportunity for a change in political will to look into this extremely damaging episode in Thurrock Council's history – for which no-one has really been held to account yet."

Spokesperson for independent councillors at the council, Cllr Neil Speight said: "This decision does not reflect very genuine public concern. It's all well and good Mr Hoare talking about 'best value' – no one would say that should not be a driving force – but 'best value' is a very broad brushstroke.

"What really happened and who is accountable - and who should be held to public examination for their catastrophic failure and possible criminality – remains under a cloak of secrecy.

"There is no doubt there has been serious wrong-doing but I am afraid Mr Hoare's response has all the hallmarks of a cover-up."

Thurrock Council said: "The council will continue to work with commissioners to make improvements and raise standards following the intervention.

"The commissioners' last report recognises the improvements the council has made, and this work remains the council's priority.

"The council is also working with the Financial Reporting Council (FRC) and insolvency practitioners and wider enforcement partners about potential criminal investigation, and how best to hold those responsible to account.

"As part of this process, proceedings have been issued by the council in the High Court against Liam Kavanagh earlier this month."