Agenda item

To receive a report of the Deputy Chief Executive and Director of Corporate Operations, providing the Audit Committee with the Chief Internal Auditors opinion on the adequacy and effectiveness of the Council’s framework of risk management, internal control and governance for the year ending 31 March 2023.

The Committee received a report of the Deputy Chief Executive and Director of Corporate Operations, providing the Chief Internal Auditors opinion on the adequacy and effectiveness of the Council’s framework of risk management, internal control and governance for the year ending 31 March 2023.

Members heard that only one review had concluded with a no assurance opinion, with 16 resulting in a limited opinion, which represented 18% of the overall audit activity for the year. It was noted that a number of these outcomes had been reported to the Committee during the previous year. It was explained that, in an organisation the size and complexity of the County Council, it would be expected to see some limited assurance reviews, and  demonstrated assurance that the internal audit process was adding value to the organisation. It was further noted that officers across the Council had genuinely engaged with the internal audit process, appreciating its importance in the effective governance of the County Council.

The Committee heard that update against the no and limited opinion reviews, including how management actions were being addressed, would be reported to the Audit Committee through the year ahead.

The Committee were advised that the report had been presented to the Corporate Management Team (CMT) , where the number of limited assurance opinions were noted. CMT had suggested further detail be presented to the Audit Committee to provide assurance around the management actions being taken on the limited and no assurance reviews, and it was heard that this would be brought before the next meeting of the Committee.  In response to Members questions it was suggested that bringing forth this report at the next meeting would better enable the Committee to hold individual directors to account for delivery of the agreed management actions, which it was heard were sense checked by internal audit to ensure that the proposed actions would be robust enough to mitigate the issues identified.

The Chairman noted that care charging was an issue of significant concern and that it was expected that the appropriate select committee would review and maintain oversight in this area. Members raised concerns regarding potential lost income and Cllr House proposed that an additional recommendation be made that a report be brought back to the Committee to provide greater clarity.

A five minute adjournment was called at this point, to enable the wording for the recommendation to be finalised.

Councillor House, seconded by Councillor Hiscock, proposed an additional recommendation:

That the Audit Committee receives a separate report on Care Charges given no assurance could be given on process by internal audit including the total lost income to the County Council, the period for which due charges may not have been levied, and the actions taken by management to rectify the position.

A vote was held, with the inclusion of the additional recommendation agreed unanimously by the Committee.

RESOLVED:

That the Audit Committee receives and considers the Annual Internal Audit Report & Opinion 2022-23 as attached.

That the Audit Committee receives a separate report on Care Charges given no assurance could be given on process by internal audit including the total lost income to the County Council, the period for which due charges may not have been levied, and the actions taken by management to rectify the position.