At long last the legislation that requires all cheques or other orders for payment to be signed by two members of the council is being repealed. The Legislative Reform (Payments by Parish Councils, Community Councils and Charter Trustees) Order 2013 was laid before parliament on Monday. Legislative Reform Orders (LROs) can take anywhere from 7 weeks to 30 weeks to go through the parliamentary process, so don't make any changes just yet! When the LRO is finally "made" all councils will be required to have robust systems of internal control if they wish to move away from cheques. The Joint Practitioners' Action Group (JPAG) will be producing model guidance and I will circulate it when available. It should be noted that this is not the removal of cheque payments – parish councils are quite at liberty to go on using cheques signed by two members of the council if they wish, but the LRO will free up councils to use whatever payment method they choose.
The government's press release, which includes a link to the Order itself, is available here.
Posted: Wed, 13 Nov 2013 13:24 by Danny Moody