Agenda item

The Head of the Regional Internal Audit Service provided the Governance and Audit Committee with his Annual Opinion, to inform the Governance and Audit Committee of the work and performance of Internal Audit for the financial year 2020/21.

The Head of the Regional Internal Audit Service drew Members reminded Members of the Interim Risk Based Plan for 2020/21that was previously presented to Audit Committee and approved on 20th July 2020. Members were reminded that at the time it was reported that due to the ongoing Covid-19 pandemic the plan would need to be more flexible than usual to allow the service to respond to changing circumstances and events that may occur throughout the year and that there would be a lower level of coverage than in previous years and different emphasis due to the impact of the pandemic.

The Head of the Regional Internal Audit Service also highlighted to Members the major impact the Covid-19 pandemic had on how the Council has had to operate and the governance arrangements and processes that were put in place to ensure it could continue to support residents and businesses during this difficult and challenging year. Members were also informed that Covid-19 also changed how audit work was carried out in 2020/21 and that all staff have worked from home for the year. Audits have been conducted remotely using various digital solutions adding that it has been a steep learning curve both for audit staff and auditees but all have adjusted well to the new ways of working.

The Head of the Regional Internal Audit Service informed the Audit Committee that the adequacy and effectiveness of the Council’s framework of governance, risk management and internal control for 2020/21 is ‘Effective with a small number of areas identified for improvement’. Members were advised that no significant cross-cutting control issues have been identified that would impact on the Council’s overall control environment and any areas for improvement that have been identified are service specific.

The Head of the Regional Internal Audit Service continued by speaking of the client satisfaction questionnaires, which had a positive return rate and confirmed satisfaction with the audit approach.

Members spoke positively of the report, commending the staff particularly given the context and challenges faced during the ongoing Covie-19 pandemic. One Member requested clarification regarding the home working arrangements mentioned in the report and how these were being managed as part of the audit verification process. The Head of the Regional Internal Audit Service informed Members that the majority of evidence required is kept electronically and therefore able to be accessed remotely. In instances where information is unable to be collated electronically visits have been conducted within Covid guidelines. Members were informed this process has worked well and will likely continue for the foreseeable future.

The Audit Committee RESOLVED:

1.    To give due consideration to the Annual Internal Audit Report for the Financial Year 2020/21 including the Head of Audit’s Annual Opinion on the overall adequacy and effectiveness of the Council’s framework of governance, risk management and internal control.

(Note: At this point in proceedings, County Borough Councillors S. Rees and E. Webster left the meeting.)