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Agenda item

DRAFT ANNUAL GOVERNANCE STATEMENT 2025/26 AND ACTION PLAN FOR 2026/27

REPORT OF THE POLICY AND COMMUNITIES MANAGER

 

For the Finance, Audit & Risk Committee to review the draft Annual Governance Statement (AGS) for the year 2025/26. The Statement reviews the Council’s governance arrangements for the 2025/26 period. It also includes a proposed Action Plan to update/improve those arrangements for the next financial year (2026/27).

Decision:

RESOLVED: That the Committee reviewed and commented on the draft Annual Governance Statement and Action Plan at Appendix A.

 

REASONS FOR DECISION:

 

(1)   The Annual Governance Statement (AGS) must be considered and approved by this Committee before the approval of the Statement of Accounts under Regulation 6(4)(a) of the Accounts and Audit Regulations (‘AAR’) 2015/234. The Council is required to publish a draft AGS alongside publishing its draft Statement of Accounts, which it needs to do by the end of June.

 

(2)   The Committee is the legal body with responsibility for approval of the AGS.

 

(3)   Reporting the draft AGS and Action Plan at this stage provides an opportunity for the Committee to assess and comment on the draft, before it is finalised and brought back for approval.

Minutes:

Audio recording – 46 minutes 59 seconds

 

The Policy and Community Manager and the Policy and Strategy Team Leader presented the report entitled ‘Draft Annual Governance Statement 2025/26 and Action Plan for 2026/27’ and highlighted that:

 

·       Members were asked to review the draft Annual Governance Statement (AGS) for 2025/2026 and approve the plan for 2026/2027.

·       The AGS was based on the local code considered and approved by this Committee in March 2026.

·       This provided a much shorter AGS, as the standardised governance arrangements were covered within the Local Code.

·       The AGS then looked at how these arrangements were applied and worked in practice.

·       SIAS, SAFS and KPMG had all been provided copies of the AGS and Action Plan and their comments has been incorporated, where received.

·       There were no significant governance issues identified through the annual self-assessment process.

·       The new AGS format made it easier to view areas for improvement.

·       The self-assessment document would be added to the website following this meeting.

·       The Action Plan had been presented to and agreed with the Leadership Team and was included at page 106 of the reports pack.

·       All actions included were new for this year, except for two actions which remained from the previous year.

·       As this year had begun, the Action Plan would be commenced as soon as possible following this meeting.

·       The monitoring of actions included sat within each Directorate, with some to specific Directors and some to general teams, and a final update on this will be reported to this Committee alongside the final version of the AGS at a future meeting.

 

The following Members asked questions:

 

·       Councillor Chris Lucas

·       Councillor Paul Ward

·       Councillor Elizabeth Dennis

·       Independent Member John Cannon

 

In response to questions, the Policy and Community Manager advised that:

 

·       The Council Delivery Plan contain information related to Churchgate timelines, but further information around the actions in the Action Plan would be provided when the update was reported later in the year.

·       Of the 13 actions from last year, all but the two referenced had been completed and an update was provided on this to the Committee in February 2026.

·       The impact of Local Government Reorganisation (LGR) on staffing and recruitment was an ongoing conversation with the Leadership Team, who were aware of those concerns.

·       There was a 3Cs Policy in place, which covered compliments, comments and complaints received, which was monitored by the Overview and Scrutiny Committee. Further links to the relevant meetings could be included to provide full details.

·       There were areas, such as the Sustainability Grant, which could sit within multiple areas of the Action Plan, but it had previously been agreed not to duplicate information included.

·       The promotion of the new Monitoring Officer from within the Council could be included as an example of developing capacity and leadership potential.

 

In response to questions, the Director – Resources advised that LGR was a red risk due to resourcing concerns, mostly related to staffing. Whilst currently staffing levels were okay, the Leadership Team were aware of the risks going forward in the process and that prioritisation of work may need to take place should key staff leave their roles.

 

In response to questions, the Policy and Strategy Team Leader advised that the self-assessment document would be published on the website shortly, which would contain more detailed information, but further detail could be provided on other areas.

 

Councillor Sarah Lucas proposed and this was seconded by Councillor Ruth Brown.

 

As part of the debate, Councillor Ruth Brown noted that the format of the report was easier to read and clearer than previous versions. The links within the report to other pages was welcomed and ensured there was no duplication of information. The only thing that was not immediately apparent was the comparison with previous years and the actions included within those.

 

In response to points in the debate, the Head of Assurance Services (HCC) & Client Audit Manager (NHDC) advised that current CIPFA and Solace guidance was for the AGS to look forward at governance issues, as well as back at those issues from the previous year. This document sought to identify what the governance issues were, but more detailed action plans should exist within the authority to implement these actions.

 

Having been proposed and seconded and, following a vote, it was:

 

RESOLVED: That the Committee reviewed and commented on the draft Annual Governance Statement and Action Plan at Appendix A.

 

REASONS FOR DECISION:

 

(1)   The Annual Governance Statement (AGS) must be considered and approved by this Committee before the approval of the Statement of Accounts under Regulation 6(4)(a) of the Accounts and Audit Regulations (‘AAR’) 2015/234. The Council is required to publish a draft AGS alongside publishing its draft Statement of Accounts, which it needs to do by the end of June.

 

(2)   The Committee is the legal body with responsibility for approval of the AGS.

 

(3)   Reporting the draft AGS and Action Plan at this stage provides an opportunity for the Committee to assess and comment on the draft, before it is finalised and brought back for approval.

Supporting documents: