Watchdog slam 'unacceptable weaknesses' in management of Historic Environment Scotland
Scotland’s Auditor General has found ‘unacceptable weaknesses’ in the governance of Historic Environment Scotland and criticises the quango and the Scottish Government
Scotland’s public body watchdog has found “unacceptable weaknesses” in the management of scandal-hit History Environment Scotland (HES).
Scotland’s Auditor General has been scathing of the long-running issues at HES and criticised the Scottish Government for its failures to act.
Stephen Boyle set out a laundry list of grave issues within the government quango and said change is now “critical”.
Mr Boyle said: “Historic Environment Scotland is navigating a period of significant instability and challenge, with a number of staff-related matters that need to be resolved.
“This includes allegations of a toxic workplace culture which needs to be fully investigated and addressed.
“My report outlines unacceptable weaknesses in HES’s governance arrangements.
“It is critical that strong controls are now put in place to prevent the risk of fraud and demonstrate that value for money is being achieved.”
The Section 22 audit of HES said it must put strong controls in place to prevent fraud and ensure value for money after unacceptable weaknesses were found in its governance.
A spokeswoman for Historic Environment Scotland (HES) said the organisation acknowledges the “serious governance issues and cultural problems identified in the Section 22 report, and the impact of recent leadership instability”.
The audit of HES’s 2024/25 accounts reported weaknesses in governance arrangements and listed a raft of issues - all highlighted in The Scotsman in recent months.
These include procurement issues, data breaches, unclear processes for complimentary tickets to events at its venues, and no formal register of interests for the Executive Leadership Team.
Auditors reported weaknesses in the financial management of electronic purchasing cards and hospitality.
They also found that the HES board was not provided with a paper to scrutinise the cancellation of a specialist archive storage project, which has already cost £2.9 million, with a further £0.5 million likely to be spent.
The Auditor General’s report adds that, together, these issues suggest a culture where organisational policies are not consistently applied or followed.
A spokeswoman for Historic Environment Scotland (HES) said the organisation acknowledges the “serious governance issues and cultural problems identified in the Section 22 report, and the impact of recent leadership instability”.
An HES insider said: “The Section 22 report makes it clear for everyone to see.
“Historic Environment Scotland is out of control and is in danger of collapsing.
“The problems date back years but have been covered up and buried time and time again.
“It is not fit for purpose and there must be real and meaningful change and it must be immediate.”
HES operated without a Chief Executive or Accountable Officer for almost six months in 2025.
Mr Boyle’s report said the Scottish Government should have appointed a substitute Accountable Officer to provide the necessary leadership and accountability in accordance with ministerial guidelines.
The Scotsman recently approached HES with questions about the storage project.
In response, the heritage body said: “The care of HES Archives and the Collections of Scottish Ministers associated with properties in care is a core function of Historic Environment Scotland (HES).
“The care and management of both, and the provision of public access, is a priority for the organisation and we are very much focused on this.
“The Archive House project was halted in June 2024 following an internal review and the agreement of the HES Board.
“ We have secured an interim solution through a lease extension at John Sinclair House, removing the immediate risk of displacement and work has started to develop a sustainable long-term strategy for archive accommodation that ensures appropriate care, conservation and public access.
“We recognise the importance of this issue and are actively engaging with the Scottish Government and our Board to ensure that the seriousness of the challenge is understood and addressed.
“Our priority is to protect these nationally significant collections and provide access for future generations.”
A spokeswoman for the Scottish Government said: “"We are aware of issues that have been raised and we are working closely with the organisation to resolve these.
“Following his appointment by the Culture Secretary, Sir Mark Jones’ priorities as Chair are to ensure HES has the trust of the public and its partners.”
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