Key Steps in Our Inspection Process

We conduct two main types of inspections at EBs: Project Compliance inspections (PC) and Control Framework Inspections (CFI). PC inspections focus on specific project activities, while CFIs assess broader governance and management. Additionally, we may perform Project Site Visits (PSVs) to review the delivery and operation of individual projects or amenities.

The type of inspection depends on the EB's scale and level of activity within the LCF. Our Compliance Inspectors aim to cause minimal disruption during these inspections. For smaller EBs, inspections might last only a few hours, whereas larger organisations may require more extensive reviews. In some cases, we might conduct a desk /remote review instead of an on-site visit, requiring EBs to submit necessary documents electronically.

What’s Involved:

A Compliance Inspector (CI) will contact you to schedule an inspection at a convenient time, explain the inspection's scope, and answer any questions you might have. You will receive an email confirming the details.

Most compliance reviews are routine and should not cause concern. Many EBs find these inspections reassuring and appreciate the chance to gain deeper insights into LCF operations. For more information on what to expect, refer to our compliance inspection leaflet available on the right hand side of this page.

Environmental Bodies

FAQs

Q. Why do you carry out compliance inspections?

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ENTRUST is the regulator of the Landfill Communities Fund (LCF) appointed by HM Revenue & Customs (HMRC). We have a duty to make sure that Environmental Bodies (EBs) receiving LCF monies are meeting the requirements of the Landfill Tax Regulations 1996.

One way of doing this is by visiting you and your projects to look at your procedures and records. We will always notify you, prior to the visit, of the documentation we will wish to review. We will give you as much prior notice of our intention to visit as possible.

We can also offer advice and recommendations for improvement at the inspection.

You can find out more about our inspections in our compliance inspections leaflet available on the Compliance Inspection Process page of our website.

Q. What can I expect at a compliance inspection?

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We carry out two main types of inspection: a project compliance (PC) inspection and a control framework inspection (CFI). Both of these will look at how your organisation is managed. A PC inspection will focus on your EB's delivery of projects. A CFI inspection is more detailed and in addition to reviewing project delivery will also cover your EB's governance and management arrangements.

The length and detail of the inspection will vary dependant on the size of your organisation. A Compliance Inspector will make contact to arrange a convenient date and time for the inspection and will explain what we intend to review, including details of specific projects, and will explain what will be required of you. This will also give you a chance to ask any questions you may have. We will then confirm all of the details discussed in an email or a letter.

We understand that Environmental Bodies in some cases are run by volunteers or individuals, we will therefore try and ensure that any disruption to you is minimised. However if you have any concerns please speak to your Compliance Inspector when arranging the visit or the Compliance Manager. All contact details are held on our website.  

On occasion, we may complete a desktop review instead of an inspection visit. If we complete a desktop review we will need you to supply all of the documentary evidence to us to support the review.

You can find out more about our inspections in our compliance inspections leaflet available on the Compliance Inspection Process page of our website.

Q. What information do the compliance inspectors need?

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The inspectors will need to see all documents and records which demonstrate how Landfill Communities Fund (LCF) monies have been spent and evidence that regulatory obligations have been met. These will include:

  • Bank statements and mandates for LCF accounts;
  • Management accounts and information on your running costs charged to the LCF;
  • Details of how qualifying contributions have been spent and information on Contributing Third Parties;
  • Project files (including project costings, budgets, project expenses and invoices);
  • Any contracts, planning permission or other legal obligations;
  • Any documented procedures you use;
  • Your Board papers and project approvals; and
  • Your governance structure.

We will provide specific details of what documents we require when confirming the timing of the inspection. During the inspection the inspector may also ask to see additional random samples of files, this is normal audit practice.

Prior to the inspection we will review the information already provided to us, including Statutory Annual Returns; details of LCF Contributions and Transfers, Director/Trustee records and your Governing Documents so that we do not ask for information previously supplied. As part of your preparation for an inspection it would be helpful if you could review these details to ensure all of your records are up-to-date.

You can find out more about our inspection process in our compliance inspections leaflet available on the Compliance Inspection Process page of our website.

Q. When you're completing a compliance inspection, who do you need to see and at which sites?

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We will need to speak with those knowledgeable about your management procedures, financial records, and LCF project records, or someone authorised to discuss these areas.

Most visits occur at the EB's registered address, where records are typically kept. However, we can conduct inspections at the most suitable location for your EB. Additionally, we may need to visit one or more project sites to ensure they comply with the original project approval and remain in use. We will inform you in advance which sites we plan to visit.