Financial Regulations - covering paper


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  1. A draft Financial Regulations document based on a version created by YLCA was presented to the Council in 2021.  However, it was agreed that Cllr Hodges and the Clerk should review the document again and re-submit it to the Council.
  2. Cllr Hodges and the Clerk have met on 3 occasions and a final draft document is now attached for consideration by the Council. 
  3. Councillors are requested to read through this document as once agreed the provisions in the document will govern the way in which financial aspects are managed.
  4. The attached document takes into consideration the size and operational practices of the Council rather than adopting the content of the original YLCA document, for instance the approach to the payment of invoices.
  5. The document refers to the Council’s Standing Orders.  This reference is retained.  However, the Council does not have any Standing Orders.  It is recommended that the Clerk draft these using any template available from YLCA and present a document to the next PC meeting.
  6. The attention of the Council is drawn to the following provisions in the attached document as these require either specific agreement and/or action :
    1. Para 2.2 – Appointment of a Councillor (other than Chairman), to verify on at least a quarterly basis, financial records and to report to the Council.
    2. Para 4.1 – The amounts in this paragraph need to be approved.
    3. Para 4.4 – Consideration of the Clerk’s pay and salary budget to occur on an annual basis in October.
    4. Para 4.5 – The Clerk can spend £100 under certain circumstances.
    5. Para 4.8 – Clerk to provide an explanation of material variations on spend against budget on a half yearly basis.
    6. Para 5.1 – Bank Mandate to be reviewed annually.
    7. Para 6.8 – Banker’s Standing Orders to be reviewed at least every 2 years (currently this only refers to the annual payment to the Information Commissioner).
    8. Para 6.11 – Provisions for the protection of password for PC’s systems and IT equipment.
    9. Para 7.6 – Requirement for annual performance management of the Clerk.
    10. Para 8.3 – Requirement for bank statements to be issued to the Chairman at the same time as to the Clerk.  This will be explored with the Bank.
    11. Section 11 – Contracts – provision for sealed bids and for these to be opened by the Clerk in front of one member of the Council.
  7. Where actions are required annually or every 2 years it is recommended that these are actioned at the Annual General Meeting. 
  8. Where financial information is to the presented half yearly it is recommended that these occur at the time the annual budget is prepared which is normally late October/November.

Sarah Lowe, Clerk/RFO

January 2022

Created: 07/01/2022 / Last Modified: 07/01/2022 by Sarah Lowe