Issue - meetings

The Head of Business Assurance reported that in 2015/16 Business Assurance had completed 77 pieces of Internal Audit work which included 33 assurance reviews, 27 consultancy reviews, 6 grant claims, 5 follow-up reviews, 5 investigations and 1 external quality assessment.

Reference was made to Appendix A of the report which provided greater detail on the IA work undertaken in the year.

The Head of Business Assurance reported that he was required to give a statutory opinion on the Council's overall system of internal control, which also included consideration of the Council's Risk Management Framework and Corporate Governance arrangements. The Committee was informed that the overall opinion for the 2015/16 audit year was of reasonable assurance.

Members were informed that management continued to propose positive action to address the risks IA work had highlighted and that the agreed management action was then taken in a timely manner.

Reference was made to the limited assurance given to Housing Planned Maintenance and Members were informed that control gaps had been identified in relation to updating the asset management system and failing to update the project management handbook or Financial Regulations.

In addition, reference was made to the limited assurance opinion across housing repairs and Members were informed that the Housing service area had undergone recent significant transformation work.

RESOLVED –

1.   That the contents of the Annual Internal Annual Report and Opinion Statement be noted.    

The Committee was informed that the Council's Internal Audit (IA) Plan sets out the planned IA approach and activity type for the forthcoming financial year and sought to:

• Provide all Business Assurance key stakeholders with independent assurance that the risks within the Council's fundamental systems and processes were being effectively managed;
• Allow the Council to demonstrate it is complying with the relevant legislation and applicable professional standards;
• Demonstrate the Council's commitment to good governance and compliance with the UK Public Sector IA Standards (PSIAS); and
• Set out that Business Assurance IA resources were being properly utilised.

Reference was made to an annual risk assessment which Business Assurance had carried out. Members were informed that the Head of Business Assurance would be carrying out the review of Internal Audit for the London Borough of Hackney.

RESOLVED –

1.   That approval be given to the draft Internal Audit Plan for 2016/17.