Agenda, decisions and minutes

There were no declarations of interest.

There were no petitions or requests to address the meeting.

To confirm as a correct record the Minutes of the meeting of the Committee held on 25 January 2023.

The Minutes of the meeting of the Committee held on 25 January 2023 were agreed as a correct record and signed by the Chairman.

To receive communications from the Chairman.

Independent Persons

On behalf of the Committee, the Chairman  welcomed Sarah Thompson and Harry Lawson to their first Accounts, Audit and Risk Committee meeting.  Independent persons did not have voting rights in the same way as councillors on the committee but brought their knowledge and expertise in an advisory manner and would be fully involved in our discussions.

The Independent Persons, Committee Members and officers introduced themselves.  

Councillor Hugo Brown

The Chairman paid tribute her Vice-Chairman, Councillor Brown, who was attending his last Accounts, Audit and Risk Committee meeting as he was standing down at the May elections.  

There were no items of urgent business.

Report of Assistant Director – Customer Focus

Purpose of report

This report summarises the Council’s Risk monitoring position of January 2023

Recommendations

The meeting is recommended:

1.1       To note the monthly Risk Monitoring Report January 2023

Resolved

(1)           That the monthly risk monitoring report for January 2023 be noted.

The Assistant Director – Customer Focus which summarised the Council’s Risk monitoring position of January 2023.

In introducing the report, the Performance and Insight Team Leader advised that there were two score changes in the leadership risk register during January. The residual score had been decreased from 12 (medium risk) to 6 (low risk) for both, L04 – Business continuity and L05 – Emergency planning.

In response to Members’ comments regarding risk L04 – Business Continuity and L08 – Cyber Security, the Performance and Insight Team Leader explained that business continuity was now based on agile working. Whilst there were links between the two risks, they were deliberately kept separate. Due to the high impact associated with cyber security, it was unlikely it could be mitigated to a green rating.  

Resolved

(1)          That the monthly risk monitoring report for January 2023 be noted.

Report of Assistant Director of Finance

Purpose of report

This report presents a summary of activity against the Annual Plan for the Counter-Fraud service at CDC for 2022/23, which was previously presented to the Accounts, Audit & Risk July 2022 committee. The Plan supports the Council’s Anti-Fraud and Corruption Strategy by ensuring that the Council has in place proportionate and effective resources and controls to prevent and detect fraud as well as investigate those matters that do arise.

Recommendations

The meeting is recommended to:

1.1       Comment and note the summary of activity against the Annual Counter Fraud Plan for 2022/23.

Resolved

(1)           That, having given due consideration, the summary of activity against the Counter Fraud Annual Plan 2022/23 be noted.

The Assistant Director of Finances submitted a report which presented a summary of activity against the Annual Plan for the Counter-Fraud service at CDC for 2022/23, which was previously presented to the Accounts, Audit & Risk July 2022 committee. The Plan supported the Council’s Anti-Fraud and Corruption Strategy by ensuring that the Council had in place proportionate and effective resources and controls to prevent and detect fraud as well as investigate those matters that did arise.

In response to Members’ questions regarding how the service could be more proactive, the Chief Internal Auditor explained that pro-active work undertaken to date had focussed on staff training and awareness sessions. The match data for the  2022/23 National Fraud Initiative (NFI) exercise had been received and a programme of work was now in place to review matches and undertake any necessary investigations. 

In response to Members’ questions regarding whistleblowing, the Assistant Director for Finance confirmed that the council did have a Whistleblowing Policy. The Monitoring Officer and/or Section 151 Officer may refer allegations relating to financial matters may be referred to the internal audit team to support the review, any such referrals would be recorded by the Monitoring Officer.

Resolved

(1)          That, having given due consideration, the summary of activity against the Counter Fraud Annual Plan 2022/23 be noted.

Report of the Assistant Director of Finance

Purpose of report

The report presents the draft report of the Accounts, Audit & Risk Committee.

Recommendations

The meeting is recommended:

1.1       To review the draft report, agree any amendments and finalise in preparation for presentation to Council by the Chair of the Accounts, Audit & Risk Committee.

Resolved

(1)           That, having given due consideration and subject to the report being updated to reflect that the Independent Persons had attended their first meeting, the Annual Report of the Accounts, Audit and Risk Committee be endorsed to be finalised for submission to Council.

The Assistant Director of Finance submitted a report which presented the draft Annual Report of the Accounts, Audit & Risk Committee.

The Chairman advised that the report would be updated prior to submission to the 17 May Annual Council meeting to reflect the appointment of two Independent Persons to the Committee.

Resolved

(1)          That, having given due consideration and subject to the report being updated to reflect that the Independent Persons had attended their first meeting, the Annual Report of the Accounts, Audit and Risk Committee be endorsed to be finalised for submission to Council.

Verbal Update by Ernst & Young

Resolved

(1)          That the external audit verbal update be noted.

The Audit Manager (External Audit) gave a verbal update on external audit progress for 2021/2022. The majority of work was complete with no major areas outstanding.

In response to Members’ questions regarding the feasibility of undertaking multiple years simultaneously, the Audit Manager (External Audit) explained that this was not possible. The Audit Manager (External Audit) confirmed that there would be no financial penalties for the late completion of the audit.

Resolved

(1)          That the external audit verbal update be noted.

To consider and review the Work Programme.

Resolved

(1)          That the work programme verbal update be noted.

The Head of Finance provided an update on the Committee work programme.

Resolved

(1)          That the work programme verbal update be noted.