East Mids authority signs off on move costing taxpayers £1.2 million

Chief executive approves £1.2m HR and payroll move

The East Midlands Combined County Authority (EMCCA) has approved spending £1.2 million on new HR and payroll technology, transferring services currently provided by Nottinghamshire County Council into the authority itself. Chief executive Amy Harhoff signed off on the decision, which was formally confirmed on Thursday, August 20.

The move, described in the decision notice as bringing services "in-house," covers licensing and software agreements and will cost taxpayers across Derbyshire, Nottinghamshire, and the cities of Derby and Nottingham a total of £1.2 million. According to the notice, £537,000 will be spent this year, followed by £569,000 in 2027 and £94,000 in 2028.

The decision comes as all 19 councils in the two counties are set to be scrapped and replaced with just five authorities from April 1, 2028, a reorganisation that provides the backdrop to the change. To date, Nottinghamshire County Council has been carrying out HR and payroll duties for the umbrella authority.

Delegated decision under scrutiny

The decision was made under delegated authority rather than by elected representatives from the four member councils — Derby, Derbyshire, Nottingham, and Nottinghamshire — in line with the combined authority's constitution. East Midlands Mayor Claire Ward was briefed on the move last week and was "supportive of the decision," according to the reports.

The issue can be called in for further scrutiny until 4pm on Thursday, August 27, after which the decision will stand.

The authority has framed the move as a need to remain self-reliant for services, streamline processes, and improve data quality. The decision notice explains that the implementation of TechnologyOne HR and payroll will support the development of EMCCA's independent HR and payroll capability and replace the current interim HR system and external payroll arrangements.

Official reasons and expected benefits

According to the decision notice, the new system will introduce changes to HR and payroll processes, including increased employee and manager self-service. It also acknowledges that the transition of payroll from Nottinghamshire County Council to an internally managed EMCCA service will require clear ownership, appropriate capability, and robust transition arrangements.

The notice adds that without this change, EMCCA would continue to rely on temporary and externally supported arrangements for key workforce and payroll processes. The implementation is also expected to improve the quality and consistency of workforce data, establishment control, management information, and workforce planning.