A CONTROVERSIAL scheme to bring back children-in-care to Stockton has been criticised by auditors who have also made recommendations for future practice.

Independent auditors did not criticise Stockton Borough Council's overall plan to bring back 20 looked-after children to the borough in a £2.5m scheme which it is hoped will eventually save the authority £600,000 a year.

However in a report for the council auditors said the authority should have prepared a formal business plan, been more transparent in the procuring houses to be converted into children's homes and the council should have better anticipated the "fierce opposition" to the scheme.

The report said that in future members of 'evaluation panels' should in future "formally declare any links or potential conflicts of interest to aid transparency.” It added that the council failed to anticipate the scale of opposition. It said: "Our enquiries have shown that this was not anticipated and action had not been taken in advance to mitigate the potential risk to council’s reputation.”

However the same Value For Money consultation report does also state that the children's services will "lead to financial savings whilst providing better care and education to some of the borough's most vulnerable people."

Stockton council has already refurbished King Edwin School for the children and bought three homes for conversion at Thorpe Thewles, Hartburn and Stillington for five children each. A fourth property must still be bought.The children's homes will be run by private Scottish company, Spark of Genius.

One Hartburn protester, who did not wish to be named, said the report proved the council was "naive" and the council should "at least have had a business document recording the whole process in a single place."

Cllr Ann McCoy, Stockton Council’s Cabinet Member for Children and Young People, said: “We welcome this independent report which finds the council’s joint venture with Spark of Genius to be ‘a controlled and innovative way’ to invest to save while delivering essential services.

“We are convinced that the project will help us to give our looked after children a better start in life. We fully acknowledge the report’s recommendations and have taken them on board. This joint venture was new and uncharted territory for a local authority and we learned from our early experiences.

“The Spark of Genius project will generate significant savings for the Council but as Corporate Parents we are pleased that it will allow us to provide better care and education for some of our Looked After Children within their home Borough.”