Section 151 officer meaning

The senior local authority finance officer who is personally responsible for the proper administration of the authority’s financial affairs. In England and Wales, this statutory role is required by section 151 of the Local Government Act 1972; the post-holder is commonly the chief financial officer (CFO) and must be suitably qualified (Local Government Finance Act 1988). Key functions include ensuring lawful and prudent financial management, maintaining effective financial controls and accounting systems, advising members on budget setting, treasury management and reserves, and supporting the production of the statement of accounts and the annual governance statement. The section 151 officer must issue a report under section 114 of the Local Government Finance Act 1988 (a section 114 report or notice) if expenditure would be unlawful or the authority cannot set or maintain a balanced budget, and must report on the robustness of estimates and the adequacy of reserves under section 25 of the Local Government Act 2003. In Scotland, an equivalent “proper officer” is designated under section 95 of the Local Government (Scotland) Act 1973 (often called the section 95 officer). Northern Ireland and Ireland operate under different statutory frameworks and titles for the chief financial officer; the term “section 151 officer” is...