A Powys councillor has criticised proposals to scrap the council's Finance Panel, claiming the move would weaken scrutiny of how millions of pounds of public money is spent.

Cllr Aled Davies, who chairs the Finance Panel, said he was concerned about the proposal and said the panel had not been consulted before the council produced its report recommending that it be discontinued.

The council says the panel’s functions are now being carried out through its existing scrutiny committees, the Governance and Audit Committee and the cross-party Budget Advisory Group. It is proposing to remove the Finance Panel from the council’s Constitution.

However, the proposal still needs to be considered by the Democratic Services Committee before going to Full Council for a final decision on October 8.

The Finance Panel was established in 2014 to scrutinise the council’s budget, Medium-Term Financial Strategy, financial monitoring and financial risks.

Cllr Davies said the panel’s responsibilities included examining the Medium-Term Financial Strategy, testing the evidence behind the annual budget, reviewing draft budget proposals and impact assessments, and scrutinising financial risks. He said he believed the panel’s functions were not duplicated elsewhere in the council’s committee structure.

“The Finance Panel exists to protect residents by ensuring Powys County Council’s financial decisions are based on evidence, realism, and proper scrutiny,” he said.

“Cabinet and senior officers have continually undermined the Panel already by withholding key financial information from the Panel. It weakens oversight, reduces transparency, and undermines public confidence in how the Council manages taxpayers’ money.”

The council’s report says financial scrutiny is now undertaken through its service-focused scrutiny committees, while the Governance and Audit Committee provides independent assurance over financial affairs, governance, risk and control.

The council said the Budget Advisory Group, which was established in 2025, also gives councillors earlier involvement in developing budget proposals and the Medium-Term Financial Strategy. The council says the group is advisory and does not replace its formal scrutiny arrangements.

Cllr Davies disputed the council’s assessment that the Finance Panel’s role is duplicated elsewhere.

He also raised concerns about the use of the Budget Advisory Group as part of the council’s justification for ending the panel.

“Replacing a formal, politically balanced scrutiny panel with an informal, Cabinet-controlled group is not good governance. It is not transparent, it is not accountable, and it is not in the public interest,” he said.

“Powys residents deserve a council that welcomes scrutiny, not one that dismantles it.”