Agenda item

Report of the Assistant Director of Finance

Purpose of report

To ask Members to note the draft statement of accounts for 2021/22 and the draft Audit Results Report of the external auditors.  The technical changes to the statement of accounts between the draft published in July 2022 and this version are detailed in the report.  The audit is not yet complete, but no further material changes to the statement are anticipated.  A draft of the Letter of Representation has also been provided for the Committee to note.

Recommendations

The meeting is recommended to:

1.1         Note the revised Comprehensive Income and Expenditure Statement (CIES) at Appendix 1 and Balance Sheet at Appendix 2 in comparison to the published Draft Statement of Accounts 2021/22 (Appendix 3) and the documents be endorsed along with necessary changes to supporting statements and notes.

1.2         Agree that, once the final audit opinion is received, the Assistant Director Finance (S151 Officer), in consultation with the Chair of the Accounts, Audit and Risk Committee (or Vice Chair in case the Chairman is unavailable), be authorised to make any further material changes to the accounts agreed with the auditors and sign the accounts.  Any further changes will be brought to the Committee’s attention.

1.3         Agree that the Assistant Director of Finance, in consultation with the Chair of the Committee (or Deputy Chair in their absence), can make any further changes to the letters 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.

Resolved

(1)  That the revised Comprehensive Income and Expenditure Statement (CIES) (annex to the minutes as set out in the minute book) and Balance Sheet (annex to the minutes as set out in the minute book) in comparison to the published Draft Statement of Accounts 2021/22 (annex to the minutes as set out in the minute book) be noted and the documents be endorsed along with necessary changes to supporting statements and notes.

(2)  That it be agreed that, once the final audit opinion is received, the Assistant Director Finance (S151 Officer), in consultation with the Chair of the Accounts, Audit and Risk Committee (or Vice Chair in case the Chairman is unavailable), be authorised to make any further material changes to the accounts agreed with the auditors and sign the accounts. 

(3)  That it be agreed that the Assistant Director of Finance, in consultation with the Chair of the Committee (or Deputy Chair in their absence), can make any further changes to the letters of representation agreed with the auditors that may arise during completion of the audit.

The Assistant Director of Finance submitted a report that updated Members on the draft statement of accounts for 2021/22, the draft audit results report of the external auditors and a draft letter of representation.

In introducing the report, the Head of Finance explained that there were six  technical changes to the statement of accounts between the draft published in July 2022 and the version presented to the Committee. The Head of Finance updated the Committee on figures in the consolidated income and expenditure statement and balance sheet.

The Committee was advised that the external audit was not yet complete, but no further material changes to the statement were anticipated and therefore delegation to sign off the Statement of Accounts 2021/22 at the appropriate time was sought.

In response to questions regarding Castle Quay, the Portfolio Holder for Finance, Councillor Nell, clarified the accounting position highlighting that the Committee was considering the draft accounts for 2021/22 and it was appropriate to focus on the values for that year rather than previous years. The accounts had been produced in accordance with the Local Authority Code of Practice. The Portfolio Holder for Finance added that this committee received quarterly reports on levels of debt.  Budget Planning Committee and Executive received regular reports on the in-year budget position.

The Committee thanked and commended Finance Officers for their hard work producing the Statement of Accounts 2021/22.

Resolved

(1)      That the revised Comprehensive Income and Expenditure Statement (CIES) (annex to the minutes as set out in the minute book) and Balance Sheet (annex to the minutes as set out in the minute book) in comparison to the published Draft Statement of Accounts 2021/22 (annex to the minutes as set out in the minute book) be noted and the documents be endorsed along with necessary changes to supporting statements and notes.

(2)      That it be agreed that, once the final audit opinion is received, the Assistant Director Finance (S151 Officer), in consultation with the Chair of the Accounts, Audit and Risk Committee (or Vice Chair in case the Chairman is unavailable), be authorised to make any further material changes to the accounts agreed with the auditors and sign the accounts. 

(3)      That it be agreed that the Assistant Director of Finance, in consultation with the Chair of the Committee (or Deputy Chair in their absence), can make any further changes to the letters of representation agreed with the auditors that may arise during completion of the audit.