There are fears that local government reform in Hertfordshire could lead to an increased risk of fraud if officers are diverted from their day-to-day duties, a meeting heard.

Members of Hertfordshire County Council's audit committee met to discuss the authority's Anti-Fraud Progress Report for 2025/26.

One councillor asked if there was any fraud risk from the upcoming changes to local government in Hertfordshire.

A decision is expected to be announced by the Government later this year, and will see Hertfordshire's two-tier system of local government – with a county council and 10 district councils – replaced with the options of two, three or four unitary authorities.

Nick Jennings, head of the shared anti-fraud service, said: "Local government reform is something we are looking at as a risk because fraudsters will look at it as an area that creates gaps and opportunities. So certainly, it's on our radar."

The Government has already confirmed its local government reform plans in the counties of Essex, Hampshire, Norfolk, Suffolk and Sussex.

Mr Jennings went on: "We can horizon scan, and we can share what's going on with those local authorities who are already ahead of us as part of this review. So we work with them to understand what fraud risks they see, so we can understand and build them into our planning in future."

Chris Wood, head of assured services, added: "It's a thing that's cropping up in a number of the districts' audit committees as well, which is the increased risk presented by local government reform.

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"There's that fear of an erosion of control, if you want, as officers are diverted between local government reform duties and delivering their day-to-day responsibilities.

"In an environment where controls are perhaps tested or put under strain, you have an increased risk of fraud, so I'm pleased that this committee is asking the same questions."

Chairman of the committee, Cllr John Hale (Lib Dem, Colney Heath and Marshalswick), asked whether the ongoing conflict in Iran could pose an additional risk of fraud.

Mr Jennings said: "We often see that fraudsters fall into two categories. People who are greedy and people who are needy.

"I think pressures on individuals and families will create more pressure for people who are needy to commit fraud."

Mr Jennings said work was underway to look at the Crisis Resilience Fund, the £9.1 million grant from central government to support Hertfordshire's most vulnerable families, which comes into effect in April and replaces the Household Support Fund.

He said: "We're already working with those services to understand what the fraud risks might be that we don't see at present but will be created by these new schemes as they come online."