On 9 April 2021 we published details of our 2021/2022 Compliance Programme. This included details of our new Project Risk Model. Based upon our initial use of the Model, we have updated the indicators contained within it, to include Object E public amenities. We would also like to take this opportunity to advise EBs, that following the Government's removal of the COVID-19 restrictions, we anticipate that project site visits will commence in quarter three of 2021/2022.
The purpose of ENTRUST's compliance function is to provide independent assurance to HMRC that Landfill Communities Fund (LCF) monies have been spent compliantly in accordance with the Landfill Tax Regulations (1996) (Regulations) and with ENTRUST guidance.
The 2021/2022 programme has been based on our assurance work, prior to, and during 2020/2021, which identified some key compliance issues following visits to project sites. As a result, the Project Risk Model has been developed to identify higher risk projects, which will warrant an increased level of scrutiny, including project site visits.
The Project Risk Model follows the same format and principles as the current EB Risk Model. Projects are awarded an individual risk score compiled from a number of key risk indicators which are based on the data held on ENTRUST Online (EOL). The risk scores are updated in real time based on EBs project activity.
The key risk indicators which make up a project's risk score include, for example:
- Value of LCF expenditure;
- Creation of assets;
- Nature and type of project being delivered;
- Experience of EB delivering the project; and
- Number of extension requests.
The updated specification is published on the right hand side of this page and on the Compliance Process page of the website. As is our usual practice, we will keep the approach under review and welcome any comments from EBs.
If you have any comments on the compliance approach or the Project Risk Model, please contact firstname.lastname@example.org