Agenda item

REPORT OF THE SHARED INTERNAL AUDIT SERVICE

To receive the Internal Audit Service progress report 2024-25 of the SIAS.

RESOLVED: That the Finance, Audit and Risk Committee noted:

(1) The SIAS Progress Report for the period to 25 October 2024.

(2) The implementation status of the reported high priority recommendations.

(3) The plan amendments to the 2024/25 Annual Audit Plan.

Audio recording – 23 minutes 28 seconds

The Head of Assurance presented the report entitled ‘SIAS Progress Report 2024-25’ and highlighted that:

·       The implementation of high priority recommendations from the Estates audit were taking longer than anticipated and now had a revised target date of March 2025, good progress had been made on this with full details at Appendix D.

·       The high priority recommendation on Agency Staff and on Houses of Multiple Occupation had been implemented.

·       The Project Prioritisation audit had been replaced by a Purchasing Card audit and this had had recently commenced.

·       The Churchgate Project Assurance audit had a change of approach and would no longer follow an embedded assurance approach and instead would be a more traditional ‘specific moment in time’ audit covering the period since the issue of the final reports for the two Churchgate audits completed as part of the 2023/24 Internal Audit Plan.

·       There had been changes to several audit start dates and this had meant a delay on commencing those audits, full details were available at Appendix B. It was not uncommon in Local Authorities for audit start dates to be moved at either the request of Council management or the internal audit team in some circumstances.

·       SIAS were confident that they would be able to deliver enough work to support the assurance opinion to be issued in May / June 2025. Resources were available to complete the plan.

The following Members asked questions:

·       Councillor Paul Ward

·       Independent Member John Cannon

In response to questions, the Head of Assurance advised that:

·       The Estates department were making good progress with the implementation of the high priority recommendation and a revised full implementation date had been set for 1 March 2025. There was ongoing cross checking of data sources occurring.

·       The final audit report in this matter had been issued in quarter 1.

·       Once the Estates department had accurately captured the data in Excel form, this would enable them to satisfy the recommendations in the case of alerts for review dates and update the asset register. A review could then be undertaken to decide if the current property management system needed updating, or if a new system would be more appropriate for the Council’s needs and to deliver the audit recommendations.

In response to questions, the Service Director – Resources advised that:

·       The Estates department were now fully staffed and this meant good progress was being made.

·       The full extent of current risks would be confirmed outside of this meeting.

·       It was felt that the Purchasing Card audit was a greater risk than the Project Prioritisation audit, especially as the new finance system had controls in place regarding projects. The audit would ensure that purchasing cards were used correctly and in line with policies.

·       The Peer Review and the new Council Delivery Plan covered off areas that the Project Prioritisation audit would have reviewed.

Councillor Paul Ward proposed and Councillor Tina Bhartwas seconded and, following a vote, it was:

RESOLVED: That the Finance, Audit and Risk Committee noted:

(1) The SIAS Progress Report for the period to 25 October 2024.

(2) The implementation status of the reported high priority recommendations.

(3) The plan amendments to the 2024/25 Annual Audit Plan