THE books of Hyndburn Council have been given a clean bill of health by external auditors.

And councillors facing a difficult budget have been urged to be prudent in the forthcoming financial year.

The council's financial status is examined each year by external auditors who scrutinise the management of the authority and carry out financial checks on its operations.

The latest audit was carried out for the first time by Robson Rhodes who inspected the authority's accounts for 1995/96, the resources available for 1997/98 and certain areas of the council's activities.

Robson Rhodes warned that future resources would be tight with the government keeping the capping level at £9.5 million, which in reality represents a cut in finances.

The auditors, who carried out several value for money studies in small areas of the council's operations, suggested a few areas of improvements which the council had already acted upon.

They also stressed the importance of preparing for white collar compulsory competitive tendering, which comes into effect in October 1997, and praised the council for the preparations it has made.

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