Issue - meetings

This report presents the 2024/25 Statement of Accounts, Grant Thornton’s Audit Findings Report, letter of representation and the Auditor’s Annual Report following the external audit.

The Committee considered a report that presented the 2024/25 Statement of Accounts, Grant Thornton’s Audit Findings Report, letter of representation and the Auditor’s Annual Report following the external audit.

The following matters were considered:

a)             Role of the Committee.  In response to a member question the Chair confirmed that the Committee would not be separating the Scrutiny from the Audit role and would continue to do both.

b)             Tranparency. With reference to the Auditor’s Annual Report a Member asked what led to the finding of significant weakness last year that's relevant to the issue of the increased engagement between senior officers and the external audit team.  The Director of Corporate Services confirmed that this was due to officers not promptly discussing some issues with external auditors, but they had learned lessons and make sure timely discussions are had with external auditors.  There had been a massive improvement in the governance section of the assessment with was now showing as Amber rather than Red.  The Auditor confirmed that regular dialogue happened with both the S151 Officer and the Chief Executive.

c)             Financial Sustainability. A Member asked how the recommendation on financial sustainability had been implemented in the 2026-27 budget and how had this been achieved. The Director for Corporate Services explained that the accounts being looked at were the 2024/25 budget, but that more detailed papers had been published as part of the full Council agenda that explained how the 2026/27 budget had been balanced.  He went on to explain that the council had had a favourable fair funding review as well as receiving various grants that were not expected.  In July, a position of approximately £5 million deficit was reported and now we're reporting a deficit of just over half a million over the same period. The Council is bound by law that to have set a balanced budget and the Council is in a much better position that it was in 2024/25.

Following consideration the Committee unanimously resolved to:

(1)       Approve the Statement of Accounts for the year ended 31 March 2025;

(2)       Receive the Audit Findings Report for 2024/25;

(3)       Note the management action in response to the audit recommendations detailed on page 39 of the Audit Findings report;

(4)       Authorise and agree that the Chair or Vice Chair of Audit and Scrutiny Committee and the Director of Corporate Services and Section 151 Officer (Chief Finance Officer) sign the Statement of Accounts and Letter of Representation on behalf of the Council;

(5)       Nominate and authorise the Director of Corporate Services and Section 151 Officer (Chief Finance Officer), in consultation with the Chair or Vice Chair of Audit & Scrutiny Committee, to make any necessary further amendments to the 2024/25 Statement of Accounts;

(6)       Note the management actions in response to the recommendations in the Auditor’s Annual Report (Value for Money).