Ms Sophia Brown of Grant Thornton introduced the reports.

In relation to the External Auditor’s Audit Plan 2022/23, particular attention was drawn to: 

·  The three significant risks to the audit were the management over-ride of controls, valuation of the pension fund net liability and valuation of land and buildings. These were the same as identified in the 2021/22 Financial Statements Audit;

·  Materiality having been determined at £1.8 million, which was slightly lower than the previous year, however this was based on the Council’s gross expenditure which had slightly decreased across 2022/23. Any errors identified above the £92, 000 trivial level would be included in the audit findings report when presented to the Committee;

·  The updates on the previous years’ findings and recommendations were included within the report. A joint Value for Money report for 2021/22 and 2022/23 was being produced and would be shared alongside the Annual Auditor’s Report at the Committee’s next meeting; there were no significant risks or weaknesses identified in the plan to date.

In relation to the External Auditor’s Progress Report & Sector Update, it was stated that:

·  Planning and risk assessment work had begun in November 2023, with the planning work substantially complete except for a few management responses to enquiries;

·  The audit of accounts for the 2022/23 financial year had started in the new calendar year following the receipt of draft revised financial statements. Grant Thornton was working closely with the Council’s Finance Team, which included reconciling an issue with cashflow statements; 

·  A positive meeting had taken place with the Property, Plant and Equipment (PPE) valuer, with assurances given that responses to the initial queries would be provided; Grant Thornton were content with the current progress. Should the progress not be maintained, the matter would be referred upwards to the Director of Finance, Resources and Business Improvement;

·  The additional fee for the 2021/22 audit had been agreed with management and submitted to Public Sector Audit Appointments for agreement; and

·  Grant Thornton were on track to deliver its audit opinion by the end of March 2024. The final date to deliver the opinion was by September 2024, although no changes were currently proposed to the former timeline. 

The Committee were reassured by the update provided but requested that they be informed if the External Auditor’s report was likely to be delayed. It was also requested that a pre-meeting briefing take place on the draft accounts before these were submitted to the Committee, to assist it in discharging its audit functions. As a briefing had been separately requested on triple bottom line accounting, the briefings would be held on different dates to maximise Member attendance; the latter could in principle take place on the now postponed 11 March 2024 meeting date.

RESOLVED: That

1.  The External Auditor’s Audit Plan for the 2022/23 year, attached at Appendix A to the report, be noted; and

2.  The External Auditor’s Audit Progress and Sector Update, attached at Appendix A to the report, be noted.