Question to the Ministry of Housing, Communities and Local Government:

To ask His Majesty's Government what assessment they have made of the value for money to taxpayers of the South Tees Development Corporation (STDC) given the recent external auditors’ finding of “significant weaknesses” in its value for money arrangements and the auditors being unable to give an opinion on STDC’s 2021–22 and 2022–23 financial statements.

As part of the local government audit framework, local auditors make assessments of authorities’ arrangements to secure value for money. The findings of ‘significant weaknesses’ in value for money arrangements in the recent audit reports for South Tees Development Corporation (STDC) reflect concerns raised in the independent review of Tees Valley Combined Authority’s oversight of the South Tees Development Corporation and Teesworks Joint Venture.

In September, the Tees Valley Combined Authority (TVCA) Mayor submitted an update on their work to address issues identified in the independent review. My department is assessing this update and will respond in due course.