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Council and Democracy

Issue - meetings

External Audit Strategy

Meeting: 06/02/2020 - Governance Scrutiny Group (Item 25)

25 External Audit Strategy pdf icon PDF 237 KB

Additional documents:

Minutes:

Peter Linfield informed the Group that the agenda had been published before the Cabinet agenda was approved, and advised that some changes have been made to section 5. Value for Money. The amended page was circulated to the Group prior to the meeting and the appendices have been amended and republished to the website.

 

Mr David Hoose, Partner, Mazars – the Council’s External Auditors presented a report that summarised their 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 2019/20. The report detailed the four areas of significant risk, these include:

 

·         Management override controls

·         Valuation of property, plant and equipment

·         Defined benefit liability valuation (Pensions)

·         Fraudulent revenue recognition

 

Mr Hoose explained that significant risk is an identified and assessed risk of material misstatement that in the auditor’s judgement requires special consideration. The audit process provides detail on the identified risks and the auditors testing approach with respect to the significant risks. In addition, Mr Hoose advised the Group that should the auditor change the view of risk or approach to address the identified risks during the course of the audit this would be reported to the governance scrutiny Group.

 

It was RESOLVED that the Group accept the External Audit Strategy.