Issue - meetings

Report of Assistant Director of Finance (Section 151 Officer)

Purpose of report

To receive two reports setting out the auditors’ Audit Completion Report for 2024/25, the draft Annual Auditor’s Report and a draft Letter of Representation.

Recommendations

The Accounts, Audit and Risk Committee resolves to:

1.1           Note the contents of the Audit Completion Report for 2024/25 from our external auditors, Bishop Fleming (Appendix 1 - to follow).

1.2           Note the contents of the draft Auditor’s Annual Report for 2024/25 (Appendix 2)

1.3           Note the draft Letter of Representation for 2024/25 (Appendix 3) 

1.4           Agree that, once the final audit opinion for 2024/25 is received, the Assistant Director Finance (S151 Officer), in consultation with the Chair of the Accounts, Audit and Risk Committee (or Deputy Chair in their absence), be authorised to make any further changes to the accounts agreed with the auditors and sign the accounts.  Any further changes will be brought to the Committee’s attention at its next meeting following the signing. 

1.5           Agree that the Assistant Director of Finance, in consultation with the Chair of the Committee (or Deputy Chair in their absence), be authorised to make any further changes to the letter of representation agreed with the auditors that may arise during completion of the audit. Any further changes will be brought to the Committee’s attention at its next meeting following the signing. 

Resolved

(1)       That the contents of the Audit Completion Report for 2024/25 from our external auditors, Bishop Fleming be noted.

(2)       That the contents of the draft Auditor’s Annual Report for 2024/25) be noted.

(3)       That the draft Letter of Representation for 2024/25 be noted.

(4)       That once the final audit opinion for 2024/25 is received, the Assistant Director Finance (S151 Officer), in consultation with the Chair of the Accounts, Audit and Risk Committee (or Deputy Chair in their absence), be authorised to make any further changes to the accounts agreed with the auditors and sign the accounts and it be noted any further changes will be brought to the Committee’s attention at its next meeting following the signing.

(5)       That the Assistant Director of Finance (S151 Officer), in consultation with the Chair of the Committee (or Deputy Chair in their absence), be authorised to make any further changes to the letter of representation agreed with the auditors that may arise during completion of the audit and it be noted that any further changes will be brought to the Committee’s attention at its next meeting following the signing.

The Assistant Director of Finance (Section 151 officer) submitted a report on the External Audit 2024/25 for the Committee to receive the auditors’ Audit Completion Report for 2024/25, the draft Annual Auditor’s Report and draft Letter of Representation.

In introducing the report, Craig Sullivan Partner at Bishop Fleming and Mark Bartlett Director at Bishop Fleming, updated the Committee on the progress of the Audit Completion Report and the Auditors Annual Report. Both reports were still in draft format but no significant issues had been identified to date. It was anticipated that final versions would be issued in December.

Members were also provided with an update on the timetable and mechanisms for building back assurance in the financial statements following the disclaimed opinion provided by the previous external auditor due to it not undertaking the 2022/23 external audit as a consequence of resourcing constraints.

In response to a query regarding one of the unadjusted items in the Auditors Annual Report, the Director at Bishop Fleming confirmed that the figure of £687,000 was an extrapolated estimate based on the potential impact of the error across the full population rather than an actual value.

Resolved

(1)      That the contents of the Audit Completion Report for 2024/25 from the council’s external auditors, Bishop Fleming be noted.

(2)      That the contents of the draft Auditor’s Annual Report for 2024/25) be noted.

(3)      That the draft Letter of Representation for 2024/25 be noted.

(4)      That once the final audit opinion for 2024/25 was received, the Assistant Director of Finance (S151 Officer), in consultation with the Chair of the Accounts, Audit and Risk Committee (or Vice Chair in their absence), be authorised to make any further changes to the accounts agreed with the auditors and sign the accounts and it be noted any further changes would be brought to the Committee’s attention at its next meeting following the signing.

(5)      That the Assistant Director of Finance (S151 Officer), in consultation with the Chair of the Committee (or Vice Chair in their absence), be authorised to make any further changes to the Letter of Representation agreed with the auditors that may arise during completion of the audit and it be noted that any further changes will be brought to the Committee’s attention at its next meeting following the signing.