Financial Policy Panel
15 September 2009
Annexe
ITEM 03
IDENTIFICATION OF THE COUNCIL’S SIGNIFICANT BUSINESS RISKS
The risks faced by public sector bodies are huge given the glare of publicity,
particularly when things go wrong. The need to manage these risks grows; as
technology advances, insurance costs rise, stakeholders’ attitudes alter, fraud
escalates, society is also more litigious, and there is a greater threat of terrorism,
particularly given Epsom and Ewell’s proximity to London.
As part of the Council’s Risk Management Strategy, the Council must manage its
significant business risks. The Comprehensive Area Assessment has replace the
CPA in 2009 although the Use of Resources annual assessment will remain
although in a different format and include risk as part of the element of “Governing
the Business”
By identifying our risks we can
 Have an early warning system in place for when things go wrong
 Adequately prepare for new legislation and e-government requirements
 Show transparency of arrangements
 Identify insurance requirements
 Help to provide value for money
 Control arrangements for partnership working
Although some risks are insurable many are not, around 80%. Once identified, action
must be taken to manage these risks by introducing controls, transferring them etc.
AIM OF THE SIGNIFICANT BUSINESS RISK REGISTER
The aim of compiling this register is to ascertain what the current significant risks are
to the Council, then evaluating the controls in place to mitigate these risks.
Once identified, the Council must aim to deal with a risk by reducing, terminating, or
stopping it (e.g. pulling out of a project), transferring it through a partner, contract or
insurer or, finally, by tolerating it if the Council will never be free of it.
Each risk is scored initially and then rescored when existing controls in place have
been taken into account. The range of scoring is from 1 to 10:


1 = Low likelihood of occurrence and minimal impact to the Council if it did
occur.
10 = High likelihood of occurrence and major impact on the Council if it did
occur.
Page 1 of 4
Financial Policy Panel
15 September 2009
Annexe
ITEM 03
Updated Register of Significant Business Risks (July 09)
Initial
Residual
Residual
Existing Controls
Significant
Risk
Risk
Risk
Business Risk
Score
Score –
Score –
1. Reputation of
Epsom & Ewell
9
2. Affects of major
incidents or mis
management at the
Derby including
terrorist threats,
crowd control and
safety of visitors,
reduction in police
presence particularly
in the management of
traffic
3. Major Emergency
affecting transport
links (rail, M25)
9
4. Increasing levels of
crime within the
Borough and fear of
crime
9
5. Outbreak of
dangerous disease
such as e-coli, bird flu
legionnaires, foot and
mount or blue tongue
disease.
8
8
May 06
May 07
Residual
Risk
Score –
Dec 07
Correct use of
Communications
Strategy and PR
Complaints procedures
Use of Forums
Publicise good work by
Council and other
stakeholders.
Correct procedures for
reviewing Ombudsman
complaints
Emergency Plan
updated.
Council is part of multi
disciplinary group
reviewing requirements
6
7
7
7
No
change
7
n/a
n/a
8
7
No
change
7
Emergency Plan
Business Continuity
Plan
Use of exercises to test
systems in place
Surrey Alert and linking
into SCC
Community Risk
Register as compiled by
SLRF
CRDP merged with LSP
Links with Police
Alcohol
Consumption
banned in public places
including the Town
Centre,
and
surrounding roads and
some parks.
New traffic light system
for licensed premises
Environmental Health
Procedures
Community Risk
Register (produced by
SLRF) covering Surrey
Wide arrangements.
DEFRA contingency
5
5
5
5
No
change
5
7
7
7
7
No
change
7
7
7
7
7
Increased
risk due
to Swine
Flu
8
Page 2 of 4
Residual
Risk
Score
July 08
Changes
Residual
Risk
Score
July 09
Financial Policy Panel
15 September 2009
Significant
Business Risk
Initial
Risk
Score
Annexe
ITEM 03
Residual
Risk
Score –
May 06
Residual
Risk
Score –
May 07
Residual
Risk
Score –
Dec 07
Residual
Risk
Score
July 08
Changes
Residual
Risk
Score
July 09
Gypsy Liaison Officer
Close links with Police
and Court
Council Officers
available to provide
support to landowners
Lower numbers in
2006/07.
Height barrier at Depot
Road Car Park
Sound planning
procedures and
processes to support
decisions
6
6
6
5
No
change
5
4
4
4
4
Increased
risk due
to
economic
recession
6
Emergency Plan
Business Continuity
Plan
Issues dealt with by
Directors weekly
meetings as they occur
with associated action
plans
Surrey wide Community
Risk Register (produced
by SLRF) adapted for
Epsom and Ewell’s
issues.
Corporate Risk Group
updated receives
updates on
environmental issues
such as summer floods.
New Climate Change
Officers Group to tackle
issues. Scope of group
being agreed.
Identification of areas of
risk identified.
Member representation
on changes.
Clarification of
contracts and
partnerships with SCC
Good working
relationships
Lobbying
5
5
5
5
No
change
5
8
8
8
8
No
change
8
7
7
8
8
No
change
8
Existing Controls
plans, quarantine and
movement laws.
6. A large number of
gypsies arriving
within the Borough,
difficult to control
particularly if not on
Council land.
9
7. Development areas
blighted and not
utilised affecting
environment including
empty shops and
offices.
8. Climate changes
causing problems such
as drought and
flooding or failure of
utilities/power
supplies
6
9. Effects on Epsom
and Ewell of County
Council, Police and
Fire Service
rationalisation and /or
restructuring plans
9
10. Major changes on
government policy
9
5
Page 3 of 4
Financial Policy Panel
15 September 2009
Significant
Business Risk
Initial
Risk
Score
and funding
arrangements
including the
comprehensive
spending review,
concessionary fares
and grants.
Annexe
ITEM 03
Existing Controls
Residual
Risk
Score –
May 06
Residual
Risk
Score –
May 07
Residual
Risk
Score –
Dec 07
Residual
Risk
Score
July 08
Changes
Residual
Risk
Score
July 09
7
7
7
7
No
change
to be
remov
ed?
Increased
risk due
to
economic
recession
No
change
7
Links with local MP
Reporting to policy
committee on Council
implications
Major change
programmes
implemented where
required
Changes to legislation
communicated to staff.
Financial Strategy and
budgets updated as
required to manage the
impact of changes in
funding and new
services. New Financial
Plan agreed for 20082012
Lobbying– championing
health service
improvements is now a
Key Priority.
11. Closure of Epsom
General Hospital
affecting a major
employer and services
to residents.
12. Loss of a main
employer within the
Borough .
7
5
Business Partnership
Development Briefs
5
5
5
5
13. Environmental
problems resulting
from the failure to
collect refuse, strikes
etc.
8
Corporate Business
Continuity Plan
7
7
7
7
Operational BCP’s now
in place for Operational
Services and
environmental health
and being developed for
all key services in
2007/08
Reporting problems
through Contact Centre
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