LGA Corporate Peer Challenge – Darlington Borough Council

A team of local government peers, led by the Local Government Association (LGA) delivered a Corporate Peer Challenge (CPC) of Darlington Borough Council (DBC) from 3-6 March 2026. This was the council’s third CPC.

CPC is a well-established and respected improvement and assurance tool that provides robust, strategic and credible challenge and support to councils. Further details about the CPC process can be found in Appendix A. Our peer team consisted of highly experienced and knowledgeable senior local government councillor and officer peers (see section four). We considered the five core areas covered by all CPCs: local priorities and outcomes, organisational and place leadership, governance and culture, financial planning and management and capacity for improvement, in addition to a focus on:

• Do our stated ambitions fully reflect the scale of opportunity while remaining achievable within our resources?
• How might we refine the way we work to improve collective outcomes, including maintaining financial stability?
• What more can we do to drive continuous improvement across the organisation?
• Where could we deepen or expand our partnerships to unlock additional capacity, influence, or impact across the system?

These four questions are incorporated into the body of the report and feedback rather than being treated as separate sections of the report.

This report provides Darlington Borough Council with feedback on the peer team’s findings. It provides the council with a set of a high-level recommendations alongside further recommendations under each of the CPC’s core areas. There is an expectation the council will publish this report and a clear action plan to respond to all the recommendations highlighted.

Darlington Borough Council (DBC) has a reputation for being a well-run council and partners describe it as being good to work with. Internally and externally people talk of the council “punching above its weight” and having an impact over and above its size and resources. Partners value working with the council at all levels and are keen to do more. They also recognise the financial and capacity constraints of the organisation and are enthusiastic about exploring where and how resources and skills can be shared for the benefit of the borough and its residents.

The council’s organisational culture is positive, characterised by constructive relationships between members and officers and where consensus is regarded as important and is actively sought. Members welcomed the fresh approach since the new chief executive was appointed to develop culture across the board, and this was further endorsed in partnership discussions. Staff are proud to work for the council and feel they have a degree of autonomy in how they deliver outcomes for residents. Members and senior officers demonstrate a clear understanding of the financial constraints facing the authority and have taken pragmatic and prudent decisions to maintain financial stability. However, available reserves are low and strong financial discipline needs to be maintained over the medium term, so that the council is able to continue to weather its challenges.

Darlington is entering a period of significant opportunity, particularly in relation to economic growth, regeneration and its growing national profile. The presence of central government departments at the Darlington Economic Campus (DEC) and the council’s role within regional growth initiatives provide a platform for the borough to strengthen its economic position and attract further investment. There is however a lack of clarity about Darlington’s USP in the region and beyond: working with partners to develop a place-based vision will help unlock further interest and investment in the borough. While the council has much to be proud of, we heard consistently that capacity across the organisation is stretched. Some of this is a reflection of its size as a relatively small unitary council, as well as the longer standing budget constraints that local government has worked within for many years. Day to day delivery of services to residents is described as by many employees as being reliant on the goodwill and commitment of staff, which presents risks for the future, particularly if people move on or out of the organisation. Staff clearly are delivering for the organisation, but some describe frustration with outdated systems and processes which result in work arounds as they try to accommodate residents’ and stakeholders’ needs quickly and effectively.

We found that while the council’s ambitions are widely understood at the highest levels, there is less clarity about how these ambitions are translated into day-to-day activities, and how success will be measured. The council is at a pivot point. It has a good track record of delivery, external stakeholders are keen to work with it, the working culture is highly positive and agile, and there are unique opportunities on its doorstep. It cannot however continue to rely so much on goodwill and it must invest for its future. To realise the council plan it needs to revisit some ways of working, better align resources and capacity to headline priorities, and articulate how it will deliver. Internal and external stakeholders are ready and waiting for the council to re-energise and re-group, and to push harder for what it wants for Darlington and are open to discussions about how to support this approach with resources and capabilities.

The following are the peer team’s key recommendations which have been prioritised on the grounds of urgency and importance.

3.1 Engage with partners at an early stage to develop a vision for place which is clear, identifiable and understood

The council’s overall vision has been agreed and will be further enhanced if Darlington develops a vision for the borough, including its USP. This will help partners and stakeholders promote what Darlington has to offer, as well as understand how they can contribute to its future success.

3.2 Explore and articulate how the council plan will be delivered

Considerable effort has been undertaken to produce the council plan. The next step should be to create some key measurable performance indicators which show how it will be delivered at headline level and which can form the basis of reporting to members and the public. Linkages to other key plans and strategies should be made, including to the Medium-Term Financial Plan (MTFP). The forthcoming Local Outcomes Framework could be utilised to show the key priority outcomes and metrics.

3.3 Clarify the council’s transformation objectives

Transformation is widely talked about but can variously mean improving processes, making budget savings or being more efficient and effective, and the terminology is not always clear to staff. Taking some time to articulate the drivers of change, such as money, a changing environment, new technology, or making services better for customers, may help the organisation to plan and achieve more, and continue to adapt and evolve as new opportunities and challenges arise.

3.4 Review capacity across the council

Capacity is widely described as stretched within Darlington, and there seems to be unevenly distributed resource across the council, with some gaps at corporate level. There is an opportunity to take a step back and consider the levels of minimum capacity needed to fulfil core, modern corporate enabling functions. Then consider whether this is in the right place and if it is being utilised to best effect to deliver the council’s stated ambitions. In particular, capacity to deliver the council’s ambitions in economic growth need to be revisited.

3.5 Review transformation and capacity funding

The level of ambition across the council is high. The council has limited funds for upfront transformation and capacity building, with a small transformation fund. Consider whether a better resourced capacity improvement fund should be established to support effective and long-standing change.

3.6 Review whether the minimum level of reserves can be increased

The council has a reputation for good financial management but available balances, which enable risks to be weathered, are very low. This means the council could find it difficult to deal with unexpected financial shocks. Take further steps to bolster reserves wherever possible, and ideally earlier than the 2029/30 target.

3.7 Explore how to more widely recognise staff contributions and introduce opportunities for wider staff engagement.

Employees are clearly committed to working for the council, but capacity and goodwill is stretched. A deeper and wider focus on corporate engagement, which celebrates success and hard work, will help to nurture that goodwill.

3.8 Introduce a refreshed approach to some basic employee terms and conditions

Some aspects of the council have a traditional feel, for example approaches to pay, career grades, and recruitment. Explore how other councils have taken a more creative approach and what could be developed in Darlington and applied consistently across services. In addition to the key recommendations section five of this report captures our detailed feedback and additional recommendations within each of the CPC’s core areas of focus.

Peer challenges are conducted by experienced LGA peers, including elected councillors and senior officers. The composition of the peer team was shaped by the specific focus of the challenge, with the LGA selecting peers based on their relevant expertise. The peers for this CPC were:

• Member Peer – Cllr James Dawson, Erewash Borough Council
• Member Peer – Cllr Rachel Bailey, Cheshire East Council
• Chief Executive Peer – Colin Ansell, Southend-on-Sea City Council
• Senior Officer Peer – Andy Felton, Director of Resources (S.151 Officer), Solihull Borough Council
• Senior Officer Peer – Susanna Chilton, Chief People Officer, City of Coventry Council
• Senior Officer Peer – Alan Denby, Director of Pride in Place, Torbay Council
• Shadow Officer Peer – Max Edgington, LB Islington
• LGA Peer Challenge Manager – Judith Hurcombe

This section of the report provides detailed feedback along with additional recommendations related to the five core areas of focus.

When developing the action plan (in response to the CPC’s findings), the council should consider both the key recommendations presented in section three and the additional recommendations set out below.

5.1 Local priorities and outcomes

In addition to the key recommendations developing the vision to reflect place aspirations and the delivery of the council plan, we also recommend the council progress the following actions:

• Explore the potential role partners could play in delivering a neighbourhood working programme
• Explore the role the voluntary sector could play in the borough vision and whether an overarching support body would help to deliver priorities
• Raise the profile of equality, diversity and inclusion within the council

The overall vision for Darlington is widely understood and readily referenced by councillors, staff, partners and stakeholders who can see what it aims to achieve. The wide range of people encountered by the peer team were clear about their passion and ambition for the borough. The council plan (the council’s corporate plan) at draft stage was subject to wide ranging consultation in spring 2024, including through social media channels and was accompanied by a survey across the borough before publication. It sets out three core principles of addressing inequalities, efficient and effective organisation, and tackling climate change: these appear to be widely recognised.

There is clear and widespread commitment to Darlington the place, and pride in working with and for the borough. Many employees have worked for the council for a long time and feel very connected to the council’s services and their roles in delivering them.

What is less clear is how these broad principles will be delivered and how the organisation can evidence that delivery to its councillors and communities. For example, what underpins the priority of addressing inequalities? Are there key measurable outcomes and outputs which are making a difference to individuals and families across the borough? There may be a more overt leading role for public health to play in supporting and reducing inequalities by aiding colleagues to see the bigger picture and enhance thinking on the role that services have to play in improving the key building blocks of good health.

The vision as described in the council plan doesn’t clearly articulate the full range of opportunities available, particularly to reflect the role of Darlington the place: partners and stakeholders suggest that the council could build on its narrative, so that they can promote the borough too. By this we mean articulating what it is that differentiates the borough from other places and makes it distinctive, and to sell more overtly what it is that Darlington can and will do to attract economic growth and investment. Being clear about what specifically Darlington has to offer, will also help partners and stakeholders market the borough too. Involving some key established businesses already invested in the borough would bring insight. And good starting points for this could include the Darlington Economic Campus, excellent transport links and the council’s intentions for housing and economic development. While the council will likely be the senior partner, broadening the range of partners around it to shape the offer should refine and amplify Darlington’s place ambitions.

Growing an inclusive and sustainable economy is a stated ambition of the vision, but it wasn’t clear to the peer team whether the implications of growth have been articulated to Darlington’s communities. For example, growth might mean the development of new industrial sites, new infrastructure such as roads, or new housing. It could also mean more people moving in to Darlington from outside of the area and consideration being given to their characteristics and needs. This could also be key to the medium-term financial sustainability of the council through the strong opportunity to grow the local tax bases.

There is a big focus on the delivery of the STEM project and other big capital schemes. The voluntary sector is an enthusiastic supporter of the council’s vision and has the potential to play a stronger role in its delivery, including contributing towards improving inclusion and tackling inequality, especially at community and neighbourhood levels. However, to play a fuller role it may need some capacity support and a reinvigorated approach to engagement. Some feedback also reflected that the voluntary sector may benefit from a more co-ordinated voice, and working with the sector should be considered to explore how closer collaboration would strengthen the place as well as help to reduce reliance on the council as the key provider and driver at community level. The council has a steering group and sub- committee which has been considering infrastructure support to the voluntary sector. There is a lot of goodwill towards the council from its partners and stakeholders, and this, and that consideration, are positive assets which can be built on further.

Over the next 12-18 months a number of plans and strategies are coming to the end of their terms, for example the council plan’s duration is from 2024-27. This provides an opportunity for new plans to be aligned more closely to the overall ambition for the council and its place, as well as to explore key milestones and measures for any new plans will be developed and make overt linkages to the council’s budget and other key strategies.

Although tackling inequalities is a key feature of the council’s stated vision, it is less easy to see how this is being planned for and delivered.

DBC’s approach to equality, diversity and inclusion (EDI) has a relatively low profile. During the course of the onsite phase there was little reference to EDI unless prompted by peer team members, and some members of staff struggled to articulate how or whether the council’s approach is delivered. There are some staff groupings for menopause, equalities engagement, mental health, black and global ethnic minority colleagues, although these seem to have a low profile and may not be achieving their full potential. 

Delivery against priorities and comparative performance

The council performs well and can show a solid track record of achievement. At the time of the peer challenge these included:

• Delivery of major regeneration programmes including £23.3m from the Towns Fund; £37m for Hopetown Darlington; and procurement of CityHeart as the development partner for town centre projects.
• A good Ofsted rating for children’s services, and DBC was anticipating the outcome of its most recent inspection with a degree of confidence.
• A good rating for adult social care from the Care Quality Commission with 73 per cent quality indicators, and which recognised many strengths and positive working practices, and collaborative working with partners.
• The purple flag award for Darlington’s nighttime economy, reaccredited in February 2026, making the town only one of 90 places worldwide to be recognised for its efforts in promoting a welcoming and safe town centre.
• Community safety and town centre management are well regarded by partners, and the peer team observed the town centre to be well managed, clean and with very low levels of litter.
• Two council projects have been shortlisted for the Local Government Chronicle’s annual awards: the Peer Mentoring Project within children’s services which supports young people age 18 and over, and the Benefit Entitlement Action Team (BEAT) partnership with the Citizen’s Advice Bureau.
• At national level there has been government investment in the borough through the creation of the HM Treasury Darlington Economic Campus, located opposite Darlington Town Hall. The investment of £120million has brought over a thousand new jobs to the town, and gives a bigger government presence to the borough, as it adds to existing DfE and Student Loan Company sites established in the town. It has brought opportunities for local people and will create more as the expansion of the campus is underway. Having senior government officials so close to the council gives it a massive advantage when compared to other places. The council needs to grab these opportunities on its doorstep, by becoming bolder about what it wants and how others can help it deliver.
• Funding has been secured for a science, technology, engineering and maths (STEM) learning centre.
• A new special free school is planned for children and young people aged 11-19 with autism and autism spectrum disorder.

Peers considered LG Inform benchmarking data which shows how the council compares with the average of their statistical nearest neighbours: Headline Report for Darlington Borough Council - Dashboard View | LG Inform. LGInform comparative data shows better than average performance across a range of indicators including levels of young people not in education, employment or training (NEETs); building new homes; high levels of tenant satisfaction on home repairs; and planning service performance on major and minor applications. However, the analysis also shows lower than average performance in household recycling; higher than average obese adults and pre-school children; and worse than exclusions of children from primary schools.

Quarterly performance clinics have been introduced to provide consistent oversight and consistency across the council. This includes red, amber, green (RAG) ratings within a dashboard. They are a positive step to gain enhanced corporate oversight, grip and challenge to service delivery and problems.

Performance tracking and key performance indicators could be better aligned to strategic priorities, so that members and residents can see how priorities are being delivered. The current reports are very comprehensive containing risk registers, financial information, and performance. More focused reporting would aid clarity of how services are performing, and assist scrutiny committees with their role.

DBC like other councils has a plethora of information and data available about its demography, service delivery and the wider area. Making better use of this information, with more analysis and insight, combined with forward planning and horizon scanning will enhance decision making and service planning.

5.2 Organisational and place leadership

The council leads the area well and people are keen to work in partnership across the borough. The council’s budget situation is understood, as are its capacity constraints. To maximise the opportunities on its doorstep the council needs to do more on strategic relationship management, which may need some investment. To do this we think the council needs to:

• Develop engagement strategies to enable the council to maximise the engagement and asks from both Tees Valley Combined Authority (TVCA) and government. 

The leadership culture of DBC is widely recognised as being positive. Partnership working is described by external observers as generally being positive, with a willingness from the council to engage, provide leadership and with an open mind. Relationships with schools, health, statutory partners and the voluntary sector are good and engaging. Partners readily describe what the council is aiming to achieve and its resource constraints. This understanding extends to partners being willing to do more, if asked, to help maximise collective resources. The council can build on this and should consider exploring what its asks could be of partners, and what may be possible.

The leader and cabinet and the chief executive and senior leadership team work well together. Senior members and managers are described at being approachable, encouraging challenge, with a genuine open-door policy and mutual respect. The senior leadership of the council is well regarded, described as “fantastic and extremely approachable” by frontline staff. Most members are viewed as being realistic about what can be achieved within the council’s budget.

Both internally from staff and members, as well as externally from partners there is a recognition that the council is relatively small organisation which has resource and capacity constraints. However, they also feel that the size of the organisation brings advantages as DBC is agile as a result, and there is a willingness to problem solve and work with others to find answers. This is a real strength and should not be underestimated as a positive aspect of the council’s culture.

Whilst being a strength it also brings pressure on key individuals and presents risks, because the council’s resource base means there are potential points of failure if people choose to move on. Having a reinvigorated internal engagement and communications strategy, as well as consideration of how some functions can be shared more widely than single individuals would help to spread some of that risk and ensure there is greater ownership and understanding of the outcomes the council is pursuing.

Building on that, consideration needs to be given to succession planning and knowledge transfer, so that internal capability grows and single points of failure can be minimised. This may mean introducing capacity at middle-to-senior management levels, to support strategic engagement with businesses, the combined authority and government. Whilst this is a cost to already stretched resources, it would be a worthwhile and much needed internal investment to aid delivery of the council’s big ambitions.

A thread running through this report is that there is significant and as yet untapped opportunity locally and regionally for DBC to build on its favourable working relationships and articulate more overtly with others what it wants for the borough. At regional level this means having deeper conversations with the Tees Valley Combined Authority to develop mutual understanding of Darlington’s ability to be a key pillar of the Local Growth Plan. There could also be opportunities to explore secondments and more knowledge transfer between government departments located nearby.

A renewed engagement strategy should also consider how to get closer to local businesses, large and small. This will bring many benefits including a better understanding of what local entrepreneurs need, and how they can fit into a place and growth strategy. If the council gets this right, these businesses could be significant ambassadors for the borough and will champion the area’s asks way beyond its boundaries.

5.3 Governance and culture

Governance works well and there is a culture of openness and transparency across the council. Members get on well with each other and member and officer working is generally good. There are mixed views about how well scrutiny is working and the impact it has. Some members of staff feel a small minority of members use social media inappropriately. To address these concerns, we recommend the council progress the following actions:

• Continue with the Centre for Governance and Scrutiny’s (CfGS) proposed work to enable scrutiny to reach its potential
• Revisit social media protocols and remind members, with training, if necessary, of their roles and responsibilities
• Start planning for the next new councillor induction Senior members and officers show visible leadership to the organisation and are well regarded, and embody the council’s stated values of respect, innovate, collaborate and deliver. The golden triangle of the 3 statutory officers of chief executive, section151 officer and monitoring officer meets regularly, and they work well together, with appropriate challenge and support.

The Audit Committee is strong with members being focused and bringing appropriate and robust challenge, including to the external auditor. The audit function generally is regarded as positive and has traction across council services, and services can evidence a good track record of responding to internal and external audit recommendations.

There are mixed and wide-ranging views about overview and scrutiny functions and its and impact. Some participants feel it is fairly low key, whereas others voice concerns that some members use scrutiny to undermine officers rather than scrutinising the work of the executive or contributing to policy development. Some members reflected that scrutiny could not be improved further, and suggesting there is no need to undertake detailed work, for example through task and finish groups. Others expressed a degree of ambivalence about scrutiny and what it can achieve. There is an absence of call-ins. Overview and scrutiny sends reports to each council meeting but does not send an annual report to full council outlining its work and impact for the whole year, which is what often happens in other councils. The council recognises that more work is required and a member led group with the support of CfGS is working on a wider review of decision making, including scrutiny and reviewing procedural elements such as at full council and the relationship in the executive model between council, cabinet and scrutiny.

Whilst an intensive member training and development programme is provided after the 4-yearly election cycle, some members felt that more refresher sessions would be helpful across their terms of office, particularly but not only on good scrutiny. There are also some concerns about whether the council’s resources are in the right place at the corporate level for communications, policy, information technology, and transformation so that there is a consistent approach across services. 

Senior members were particularly praised by partners for their measured and sensible approach to council business. There are few examples of poor member behaviour, although some staff report difficulties arising from a few newer members who can be prone to over-promise what can be provided to residents, sometimes due to a lack of understanding of existing council policy or the limitations of what they or the organisation has the remit or resources to deliver. A minority of members may need to be reminded that they should not be using social media channels such as Facebook to criticise officers or to commit the council to respond or work outside of current agreed policy. The impact of this can be to undermine policies which members have agreed and in doing so, create pressures for staff and on resources, and can blur boundaries. At the most extreme this could create perceptions of unfairness in how aspects of some services are delivered. Consideration should be given to being clearer about what staff are expected to do in these instances, and the mechanisms for an appropriate senior management response and oversight.

5.4 Financial planning and management

The council has a good understanding of its financial position and can evidence strong financial management and savings delivery over the long term, which was strongly supported by the External Auditor. Between 2010 and 2019 the council’s budget reduced by £46million in real terms. Although core spending power between 2025/26 and 2028/29 will increase by 14.1 per cent, the overall budget position remains challenging. The revenue budget is £149million and the capital budget is £27.4million for 2026/27. The MTFP identifies a budget deficit of £10.5million between 2026 and 2030. There is realism about the financial position the council faces including how it relies on reserves to balance the budget, as well as recognition that the council has made pragmatic and difficult decisions since austerity measures were first introduced. Investment in social care to support transformation has helped to manage demand and weather some financial risks.

Senior members are willing to listen to, make and stick to some politically difficult financial decisions and moderate ambitions within the available resources, for example, making some tough council tax increases, and taking a robust approach to income from fees and charges. The MTFP summary from February 2026 is well-written and clearly sets out the council’s financial position and risks, including that the overall financial position is fragile, and the future will require more difficult decisions to be made. It states that economic growth and the income it generates is a key feature of the council’s budget strategy, but that income takes some time to come to fruition.

Budget monitoring for quarter three of 2025/26 showed an almost balanced position for the revenue budget, despite significant demand pressures, particularly in children’s services. In February 2026 children’s services were projecting an overall budget deficit for the year of £3.848million, and adult social care and health was predicting an underspend of £2.56million. Underspends were also being projected for environment, highways, and community services; resources and governance; and economy and public protection.

There is evidence of good, prudent modelling of cost drivers through budget planning. This has enabled robust estimates to be made.

Savings of over £3million have been identified for each of the next four financial years. There is strong confidence in the delivery of these savings given the historic performance on savings delivery, as supported by the External Auditors. Further potential savings and income opportunities have been identified but are not yet been fully quantified and accounted for in the MTFP. This is a positive to the MTFP as it provides further opportunities to bridge the future budget gaps to ease some of the existing pressure on reserves. Example of potential opportunities include:

• Children's reforms and preventative impact
• Further Xentrall commercial opportunities
• The use of artificial intelligence (AI) and digital more extensively to support innovation and reduce costs
• Regional care collaborative.

It was unclear to the peer team whether the council plan ambitions are fully resourced across all areas of delivery and these costs reflected within the MTFP. The council knows it needs to go further with its approach to transformation to keep driving down costs, but it needs to be able to make some upfront investment to pump prime savings. The capacity fund should be revisited to ensure it can accommodate the transformation ambition.

There are also funding risks that were highlighted in some specific areas:

• Hopetown Darlington is a key visitor attraction which cost £37million of investment and which has won many awards. However, income levels are projected to be £705,000 lower than costs for 2026/27. An external review is underway to identify how to boost income levels and reduce the deficit in the medium term.
• There is a delicate balancing act to be achieved between the mix of housing types being achieved through the housing joint venture. The JV brings in valuable, planned for income of around £1.5million per year which could be jeopardised if the mix of delivery changes away from the current scheme to a higher social/affordable housing model.
• Assurance around City Heart delivery assumptions and programme to achieve business rates uplifts.
• On a smaller scale, uncertainty around Office of Police and Crime Commissioner funding once disbanded.

The council has used reserves to mitigate demand pressures in services and has an aim of getting back to a balanced budget by 2028/29. However, the minimum level of assessed risk reserves is low and the £6m risk reserve is below the typical 5 per cent of revenue budget minimum used as a guideline by CIPFA. The external auditor has previously warned that reserves could be exhausted by 2027/28. The risk reserve should be protected and may need to be increased as it is the buffer to protect the council from significant and unplanned financial shocks.

The external auditor issued a disclaimer of opinion on the council’s financial statements for the year to March 2024. This related to the timescales of the national backstop regulations issued in 2024 and was a result of insufficient external audit work in previous years. The current External Auditors stressed that the disclaimer was not a reflection or judgement of the council’s performance in respect of the production of the financial statements.

An area of concern flagged by staff is the under-utilisation of the Town Hall building, even at the height of the week. Further exploration might illustrate ways to maximise the potential of the building and reduce costs.

5.5 Capacity for improvement

The council has many strengths which it can build on for the future. Councillors, staff, stakeholders, and partners get on well with each other. They are committed to the borough and its improvement, and there is broad and shared ownership of doing more together for the benefit of residents, stakeholders, and the local economy. This is a clear strength and should not be underestimated as a positive ingredient for future working and success. It can be built on through creating more opportunities for consistent and ongoing dialogue.

Employees provided consistent feedback that their colleagues are positive to work with, are flexible and will go the extra mile to deliver for residents and businesses. Staff also feel they have a degree of autonomy and flexibility within their roles, and they feel supported by their managers.

There is a can-do culture evident across all the layers of the organisation, underpinned by a lot of goodwill, and willingness to do the best for Darlington. This applies equally to members and officers.

Darlington’s size fosters agility and innovation but there is a risk of failure points which could limit the ability to capitalise on the opportunity, consider broadening internal communications engagement across sites to develop the existing goodwill and the organisation’s understanding of the outcomes the council aspires to deliver.

Whilst there are many positive aspects of being a small and agile council, staff also reflect that they feel constrained by some systems and processes, some of which feel out of date, traditional or uninvested in. They describe instances of navigating around cumbersome processes so that can deliver well for customers. It is not uncommon for councils to be somewhat bureaucratic in approach but taking a step back to explore if some processes can be made more effective, efficient, or faster would be welcomed by staff. This of course needs to be balanced by having the right level of grip and assurance to ensure that processes are legal and consistent across the organisation.

The council’s structure has evolved over several years through a fairly pragmatic approach, with some roles having taken on extra responsibility. Several people commented on and others have perceptions that there is a disparity between resources and capacity between departments, with concerns that some areas feel too lean relative to the expectations of them. Some colleagues report concerns generally about workloads feeling unmanageable and difficult to get control of and descriptions of the current overarching structure include “creaking” and “out of date.” These concerns arise at all levels of the council. There are also widespread concerns from officers that the organisational design needs to more closely align with the overall vision for the council, so that the council plan can be delivered.

There is widespread ownership of the council plan, but it is not easy to see what the success measures are to show it is being delivered. More capacity is needed at corporate level to articulate, shape, measure, and report to members on what is being delivered through the council plan and what will be delivered in the future. This does not mean producing encyclopaedic volumes of information for every audience but instead working on some key metrics which are regularly reported, and from which progress and performance can be easily understood and compared. Linkages and interdependencies with other core strategies including the MTFP should also be considered, so that corporate performance reporting links to its budget performance.

Elsewhere we have referenced that the council’s budget is tight, with lower than ideal levels of reserves, so any boosting of capacity will need to come from within existing budget allocations. Delivery of the council plan is a council-wide matter, and consideration should therefore be given to pulling some resource into a central function for corporate oversight and management.

There clearly has been successful transformation activity within departments, particularly relating to delivery and demand within adults and children’s social care. As referenced earlier it is not clear whether transformation is largely about managing reducing budgets, improving outcomes for service users, or bringing in more innovative approaches. Transformation could become a more overt aspect of delivery within the current or next council plan and will require some exploration of what it means to DBC.

As with many other local authorities, AI is something of an unknown for the future. It is being utilised in DBC, for example for note taking in social care settings through Magic Notes. There is some scepticism about its ability to deliver savings, which in turn could be a factor in potentially holding back strategy, plans, and commitment to delivery.

Staff commitment to deliver well and effectively is clear, and some have frustrations about how existing approaches can make it difficult to get some basics right. Recruitment was referred to as a ‘pain point’ in multiple sessions and appears to be subjected to delays due to difficult systems and processes. Delays in turn are causing additional strain for longer on staff who inevitably pick up work in the meantime due to vacancies, which erodes the goodwill cited earlier. The peer challenge is a snapshot in time so is unable to assess how widespread or typical process frustration are, but involving staff and managers in a session to share concerns may lead to suggestions for improvement.

Whilst IT support is regarded as helpful there is also a perception that several supporting IT systems could be more intuitive and efficient to use. The procurement team is working hard and their advice is valued, but their capacity is cited as a bottle neck leading to rushed processes, a lack of framework contracts in some areas and potentially missed opportunities through the new procurement act. Taking time to explore some of these concerns with staff in services, as well as ensure that everyone is clear of their roles and responsibilities in achieving effective and efficient procurement may lead to some new solutions or innovative ways of working.

Some aspects of how the council operates have a fairly traditional feel. There are mixed views about innovation with some staff feeling the council innovates well and that it is encouraged, whereas others feel less well supported. There is enthusiasm for introducing more innovative ways of working and this could extend to having scheduled opportunities to work across departments to explore different ways of working and learn from each other but feel there can be a lack of encouragement to do things differently. The culture is largely permissive, but some members of staff note that this can lead to inconsistencies in how policies are interpreted, for example, the requirements of staff when working from home. People like working for the council and this is reflected in both how they describe the organisation, as well as through staff surveys which show high levels of positivity on recommending the council as a good place to work. Despite this, morale is described as mixed by front line staff, who worry about workloads, capacity and taking on more.

Sickness absence performance improved between 2024/25 and 2025/26, with fewer days lost per full-time equivalent member of staff, and data compares very favourably with neighbouring authorities. Wellness clinics were introduced in 2025 to support employees to take a holistic view of their physical and mental health. The council chairs a new regional absence group with a focus on reducing employee sickness absence and promoting health workplaces.

Inevitably given the council’s overall capacity and budget constraints, the broad pay and reward mechanisms for staff cannot be radically overhauled. But there are opportunities for the council to be more creative with its approaches to pay, recruitment, and progression, so that staff feel their hard work and goodwill is recognised. This could include exploring what other councils have done on organisational design and thinking about future job roles and skills, and how best to achieve them. To support a more agile and flexible workforce, the council could review its local recruitment arrangements to reduce delays and consider how the shared service might operate more effectively as a result. There is scope to explore the use of career graded roles and to extend structured career progression beyond social work and other professional areas, where this is permissible within the NJC framework, in order to better recognise and develop internal talent.

Staff are clear that although they do see some senior managers, this is often within departments, and they would like to see more visibility of senior leaders, both managers and members from across the council. The chief executive’s monthly round ups are well received by staff, and there are some staff recognition elements in place, but they would like the council to do more, especially in celebrating their individual and collective achievements and successes. Going further with a formal staff recognition scheme, for example a peer nominated approach supported by a staff panel, could further strengthen engagement and reinforce positive contribution.

Developing a more overt and confident communications style, for both internal and external audiences, will need to be undertaken within the parameters of what members and officers are comfortable with balanced with opportunities to show delivery in key areas. It is clear that everyone wants the council to build on its successes, and they want to work with the council to explore and clarify what’s next, and what contributions they can make. The Darlington Partnership Summit planned for late March 2026 is a good opportunity to do that, as is ongoing dialogue through other means including the Public Sector Executive Group.

The council does punch above its weight and has the capacity to improve further. Its assessment of its strengths and areas to improve, as reflected in the position statement for the CPC, was grounded in reality and feels like an accurate representation of an organisation which knows itself well. DBC needs to make louder and clearer demands of others, and reinvigorate and re-energise its workforce and capacity, so the best impact can be achieved for Darlington.

The senior political and managerial leadership of the council should review and reflect on the findings and recommendations from this CPC.

To promote the principle of transparency, it is a requirement of the CPC process that the final report of the peer team is published in-full within three months of the review being completed. In this instance, this requires the report to be published no later than 6 June 2026.

There is a requirement for Darlington Borough Council to develop and publish an action plan within five-months of the peer team being onsite, no later than 6 August 2026. This action plan should provide clarity on the activity, milestones, and timelines that the council will work to in responding to the team’s findings.

The action plan will also be central to the peer team’s re-engagement with Darlington BC through a progress review which is due to be completed and published by 6 March 2027.

The Ministry for Housing, Communities and Local Government (MHCLG) have published the Best Value Standards for Local Authorities. These standards expect every council to engage in a Corporate or Finance Peer Challenge at least every five-years. It is expected that Darlington BC would commission their next Corporate Peer Challenge no later than October 2030.

In the meantime, Mark Edgell, Principal Adviser for the North East, is the main contact between your council and the Local Government Association. As outlined above, Mark is available to discuss any further support you require and can be emailed at [email protected]  

CPC is a valued improvement and assurance tool that is delivered by the sector for the sector. It involves a team of senior local government councillors and officer peers undertaking a comprehensive review of key information and spending three days at the council to provide robust, strategic, and credible challenge and support. CPC forms a key part of the improvement and assurance framework for local government. It is underpinned by the principles of Sector-led Improvement (SLI) put in place by councils and the LGA to support continuous improvement and assurance across the sector. These principles state that councils are responsible for their own performance; accountable locally, not nationally; share a collective responsibility for the performance of the sector; and rely on the LGA to provide the tools to support them. CPC is also key to councils in meeting their Best Value duty. UK Government expect all councils to have a CPC at least every five years.

Scope and focus

The peer team considered the following five areas which form the core components of all CPCs. These are critical to councils’ performance and improvement.

• 1. Local priorities and outcomes - are the council’s priorities clear and informed by the local context? Is the council delivering effectively on its priorities? Is there an organisational-wide approach to continuous improvement, with frequent monitoring, reporting on and updating of performance and improvement plans?
• 2. Organisational and place leadership - does the council provide effective local leadership? Are there good relationships with partner organisations and local communities?
• 3. Governance and culture - Are there clear and robust governance arrangements? Is there a culture of challenge and scrutiny?
• 4. Financial planning and management - Does the council have a grip on its current financial position? Does the council have a strategy and a plan to address its financial challenges? What is the relative financial resilience of the council? 
• 5. Capacity for improvement - Is the organisation able to bring about the improvements it needs, including delivering on locally identified priorities? Does the council have the capacity to improve?

As part of the five core areas outlined above, every CPC has a strong focus on financial sustainability, performance, governance, and assurance.

The peer challenge process

Peer challenges are designed to support improvement, not inspection. They are not intended to provide a detailed or technical assessment of plans and proposals. Instead, the peer team uses its experience and knowledge of local government to reflect on the information shared with them, the things they observe, and the material they review. 

To prepare, the peer team looks at a range of documents and information to understand the council and the challenges it is facing. This includes a position statement prepared by the council before the visit, which sets out the local context and highlights areas for the team to focus on. The preparation also involves reviewing an LGA Finance briefing (based on public reports from the council’s website) and an LGA performance report that shows benchmarking data across a range of measures. The performance report is produced using the LGA’s local area benchmarking tool, LG Inform.

The peer team then spends three or four days at the council. During this time, they gather evidence, information, and views by meeting with council staff, councillors, and external stakeholders. This helps them build a rounded picture of the council’s strengths and areas for improvement.