The emergence of public sector risk management: The case of local authorities in Scotland

Abstract

The 1980s saw an increase in the extent of academic interest and research into local authority management. A specific aspect of local authority management practice which has, however, been grossly under‐researched is that of risk management. This is something of a paradox, given the fact that significant changes in the local authority insurance market have brought about a culture within authorities whereby a more pro‐active approach to risk management is necessary. This paper discusses the findings of both survey and case study research* into the current risk management situation within Scottish local authorities. In particular, the methods of budget calculation, the levels of budgeting and the means by which these budgets are expended are analysed. Finally, suggestions are offered as to how local authority risk management strategies could be improved.