ENTRUST Compliance EB Risk Model

11 Apr 2019

ENTRUST has a statutory responsibility to ensure Landfill Communities Fund (LCF) monies are spent compliantly under the Terms of Approval with HMRC and the Landfill Tax Regulations 1996 (Regulations).

To meet this responsibility we carry out an annual schedule of risk based compliance inspections on Environmental Bodies (EBs). These inspections ensure that LCF monies have been spent compliantly and may take the form of visits to EBs and their projects or a desktop review where a visit would not be cost effective. The annual inspection programme is based on an EB risk model.

A full review of the EB risk model was carried out as part of a stakeholder consultation exercise in May 2017 and the updated model was published on our website in September 2017. In February 2019 we undertook an internal review to ensure the risk model continues to reflect current scheme priorities.

All EBs generate an individual risk score consisting of 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 activity and performance.

The key risk indicators which make up an EB's risk score include, for example;

  • the amount of LCF funding received;
  • the amount of LCF monies held as unspent;
  • the number of projects approved for the EB; and
  • the number of previous non-compliance issues identified at an EB.

You can review our current risk model indicators in the document on the Compliance Process page of our website.