Issue - meetings

The Report of the Executive Manager – Finance and Corporate Services.

Mr Hoose – Mazars provided a report that summarised Mazars approach to external audit activity with regard to the final accounts process and their approach to value for money work in relation to the financial year 2018/19.

The report provided a detailed approach that Mazars will use when auditing the 2018/19 Statement of Accounts and specified the work they will undertake, when they anticipate completing the work, and how they will liaise with Council officers. The report also detailed the key risks with regards to the year-end accounts and the Council achieving value for money.

These include:

·         The Completeness and accuracy regarding the Council’s valuation of property, plant and equipment;

·         The Local Government Pension Scheme and the risk that the data is inaccurate and the impact of these inaccuracies on the financial account;

·         The level of various provisions are reasonable, including bad debt provision, Business Rates appeals and Minimum Revenue Provision are reasonable;

·         Financial resilience – both potential changes to local government funding and continued delivery of future savings to secure long term financial and operational sustainability remains challenging and therefore poses a risk to financial resilience; and

·         The appropriateness of commercialisation decisions.

Members considered the report and asked specific questions regarding fraud, and whether Mazars would be able to provide advice and support in the instance of fraud within the Council.

Mr Hoose directed members to the Engagement and Responsibilities Summary in the Appendix to the report advising that:

‘As part of our audit procedures in relation  to fraud we are required to enquire of those charged with governance as to their knowledge of instances of fraud, the risk of fraud and their views on management controls that mitigate the fraud risks.’

Members also requested that Group members continue to be given adequate training and information when making financial decisions.

The Executive Manager – Finance and Corporate Services advised that a training programme is provided for Councillor’s throughout the year which incorporates financial training such as that provided by Arlingclose the Council’s treasury advisors.

It was RESOLVED that the External Audit Strategy be approved.