Sickness absence levels have soared by over 50% in two years across Northern Ireland councils with more staff off in 2022/23 than during the pandemic, according to a new report.

The latest Northern Ireland Audit Office survey also singled out two local authorities for being “particularly reliant” on agency staff as the payroll bill for all councils reaches £436m.

The report stated that the figure, which accounts for 39% of all expenditure, is proportionately consistent with previous years — however it highlighted there has been “a significant rise” in post-pandemic sickness levels which now averages 16.9 days in each council.

That marks a 53% increase compared to the 11 days reported in 2020/21.

“Furthermore, in 2018-19 (prior to the pandemic) the average number of days lost per employee to sickness absence was around 10% higher in local government compared with central government,” it added.

“This has now increased to 37% in 2022/23.

“The report notes the Local Government Auditor’s concerns over this widening gap, and emphasises the continued importance of closely monitoring and actively managing sickness absence to improve operational efficiency and reduce productivity losses.”

Colette Kane, Local Government Auditor

Northern Ireland’s Local Government Auditor, Colette Kane who authored the report, found that councils had the largest shortfall between total income and expenditure since the structure of local authorities was reformed in 2015.

She also expressed concern about the “worrying trends” including a £37.6m bill for agency workers during 2022/23 with “significant differences” between councils.

“Causeway Coast and Glens and Mid and East Antrim, have consistently been particularly reliant on agency staff, with these accounting for 29% and 21% of their respective total staffing costs in 2022/23,” she said.

“I consider it important that all councils, and particularly those spending a high proportion of staff costs on agency staff to support service delivery, continually review their requirements for agency staff and that they have appropriate oversight in place to ensure that these arrangements represent good value for ratepayers.”

The report acknowledged that the impact of public health measures during 2020/21 resulted in most councils spending significantly less on agency workers compared to previous years, but noted that this expenditure has recovered to pre-pandemic levels.

It also highlighted the “volatility” of revenue which has resulted in funding from central government being “significantly higher than usual” as a result of the pandemic and inflation.

All 11 councils here generated a total income of around £1.03bn in 2022/23 marking a drop of over 8%.

However, expenditure during the same period reached £1.16bn, creating a shortfall of around £128m.

Ms Kane expressed concern that “any sustained continuation of this trend could potentially challenge the long-term financial sustainability of the overall local government sector” as she stressed the importance of “effective planning and strong oversight” going forward.

“My report also observes that the value of usable reserves held by councils continues to be higher than before the pandemic, totalling around £447 million in 2022-23,” she added.

“It is essential that councils have clear and robust plans in place for managing and using these reserves in a way that delivers maximum value and benefit for ratepayers.”