Payments for loss of earnings or for expert advice (sections 28(3) and 29(6) of the Local Government Act 1974)

9.1 The above sections of the Act allow the Commission to make payments for expert advice needed in the course of an investigation or for loss of earnings by an individual who assists a Commissioner in the course of an investigation. The levels of payment are defined in the Framework Agreement and in sections 9.2 and 9.3 of these instructions.

Claims for loss of earnings by complainants or third party interviewees

9.2 Section 28(3) of the Local Government Act 1974 allows a Local Commissioner to pay allowances by way of compensation for the loss of a person’s time who attends or furnishes information for the purposes of an investigation, in accordance with such scales and subject to such conditions as may be determined by HM Treasury.

9.3 The Treasury have made it clear that some form of evidence of loss of earnings is needed to support any payment. Such evidence may take the form of a letter from an employer, confirming the amount of salary withheld or in the case of a self-employed person, a certificate from his/her accountant. If evidence is taken from a consultant, a letter would be needed from the consultant’s accountant confirming that he/she works on a consultancy basis and stating the normal daily charge, exclusive of VAT.

9.4 On receipt of a request for payment from any individual the investigator of the case should consult with the Assistant Ombudsman in charge to consider whether payment is appropriate and, if they are in agreement that it is, should ask the individual concerned to submit a claim, supported by whatever documentary evidence is required. He/she should then contact the Head of Finance who will discuss the requirement with the DLUHC sponsor team.

Payments for expert advice

9.5 Section 29(6) of the Local Government Act 1974 allows a Local Commissioner to obtain advice from any person in his/her opinion qualified to give it to assist him/her in an investigation. It further permits him/her to make payment to such a person of such fees or allowances as he/she may determine with the approval of HM Treasury.

9.6 When an investigator considers in the course of an investigation that expert professional advice is required, he/she should agree the need with the Executive Team and arrange, in accordance with the Commission’s normal tendering procedures, to approach at least three specialists in the relevant field to obtain quotations for the work required.

9.7 Once tenders have been considered and a decision made in the usual way, the Head of Finance will discuss the requirement with the sponsor team.

Catering

9.8 The LGSCO does not normally provide catering for meetings or training courses. In exceptional circumstance a Budget holder must authorise the provision of catering.

Private phone calls

9.9 Employees are permitted to make or receive private telephone calls on LGSCO telephones; however, these should be infrequent and kept short.

Private photocopying/printing

9.10 The LGSCO will allow staff to use multifunction devices for private copying/printing providing this is:

• not excessive (1-2 pages); and
• not a regular occurrence and does not interfere with official usage of the equipment.

9.11 Staff found to be using this excessively will be asked to stop. Failure to stop may result in disciplinary action.

Losses and special payments

9.12 The CEO may approve write offs and special payments up to the following limits without consulting DLUHC.

• Losses – cash losses, unrecovered overpayments to staff (including pay, allowances and superannuation payments) £250.
• Losses – stores, booking losses, fruitless payments and constructive losses, claims waived or abandoned (except for claims against Commission staff) £500.
• Special payments – compensation including personal injury, traffic accidents, damage to property and ex-gratia payments £1,000.
• Gifts – up to value of £500 in total per annum.

9.13 The Head of Finance will submit a report to the Audit and Risk Assurance Committee, summarising all ex-gratia payments, special payments and write-offs authorised since the last Audit and Risk Assurance Committee meeting.

9.14 Any other loss or special payments including any that may be regarded as novel, contentious or repercussive will be reported to DLUHC for their approval and they may also inform HM Treasury.