A spending watchdog has warned there must be tighter financial controls at Shrewsbury’s £10 million Sports Village after claiming Shropshire Council may have been exposed to “high risks”.

The Audit Commission says that there has been a “lack of procedures” concerning the auditing work carried out by the council for the flagship development in Sundorne with concerns also raised about other centres.

It has now issued an “unsatisfactory assurance” after looking over the books – the worst score for a completed audit review.

It has also raised similar concerns over the financial monitoring of The Quarry Swimming and Fitness Centre and the Meole Brace Golf Course, both in Shrewsbury.

A report to the council’s audit committee says: “An unsatisfactory audit opinion was issued on the Shrewsbury Sports Village due to the overall lack of procedures and poor control environment.

“Similar issues were identified at the Quarry Swimming and Fitness Centre and, to a similar but lesser extent, at the Meole Brace Golf Course.

“Management have responded positively to the reports and as a result of these findings, we have undertaken a major piece of support work to the Community Services Leisure Team in an effort to establish and roll out standardised good practice across all leisure establishments.”

The Audit Commission says an unsatisfactory assurance is issued if it finds evidence that the system of control is “weak” and that there is “non compliance” with the controls in place.

It says: “This exposes the council to high risks that should have been managed.”

The report says that the Sports Village was the only audit to be deemed unsatisfactory with 15 “limited” assurances and 196 that were either good or reasonable.

Councillor Keith Barrow, leader of the council and the portfolio holder, today said the authority was in the midst of a major review of leisure services, which could see a number of facilities passed on to private management companies to run.

He said: “We are aware that there are issues and we are looking at this.”

By Russell Roberts