Issue - meetings

The report of the Executive Manager – Finance and Corporate Services is attached.

In the absence of representation from the external auditors, Mazars, the Executive Manager – Finance and Corporate Services presented the Annual Audit Letter for the year ending 31 March 2019, which summarised the progress of the audit process for the financial year 2018/19. The auditor’s report concluded that in respect of value for money the Council had put in place proper arrangements to secure economy, efficiency and effectiveness in its use of resources.

The Executive Manager – Finance and Corporate Services advised the Group that the audit  was conducted in accordance with the requirements of the Code of Audit Practice issued by the National Audit Office (NAO), and international Standards on Auditing (ISAs), who require the Council to consider:

·         The accounting policies are appropriate to the Council’s circumstances and have been consistently applied and adequately disclosed.

·         The significant accounting estimates made by management in the preparation of the financial statements are reasonable.

·         The overall presentation of the financial statements provides a true and fair view.

The auditor’s report stated that the financial statements gave a true and fair view of the council’s financial position as at 31^st March 2019 and of its financial performance for the year’s end.

The Executive Manager – Finance and Corporate Services reported that an additional £750 not previously notified by the auditors had been proposed in relation to assessing the Council’s risk against the McCloud judgement (pensions transition), adding that discussions with the auditors as to whether this will be paid was ongoing.

The Group raised concerns in respect of the auditing issues that affected Northamptonshire County Council and whether the Borough Council had processes in place to prevent anything similar occurring. The Executive Manger – Finance and Corporate Services whilst unable to make comment in respect of Northamptonshire, assured the Group that in light of any concerns there is to be a national review of the Audit Standards.

Councillor Virdi requested clarification with the figures reported in respect of the Medium Term Financial Plan (MTFP) and Transformation Plan and the transformation strategy savings built into the budget. The Executive Manager – Finance and Corporate Services explained the terminology and provided clarification at the meeting.

It was RESOLVED that the Annual Audit Letter for year ending 31 March 2019 be noted.