Issue - meetings

External Audit - Audit Progress Report 2020/21 & Sector Update

Meeting: 28/10/2021 - Audit and Governance Committee (Item 44)

44 External Audit - Audit Progress Report 2020/21 & Sector Update pdf icon PDF 233 KB

Grant Thornton, as the Council’s appointed External Auditors, have produced a report which provides an update to Audit & Governance Committee on their progress to date in delivering their responsibilities.

 

The report states that the proposed target completion date for their fieldwork is 30th November 2021 and they aim to give their opinion on the financial statements by the end of December 2021. Reasons (and context) for the delay in issuing the opinion against the target date of 30 September 2021 are included in the report.

 

The report also includes a summary of the ‘What can be learned from Public Interest Reports?’ publication by Grant Thornton, along with a link to the full publication.

Additional documents:

Minutes:

Grant Thornton Update

The Chairman of the Committee read to the Committee the contents of his email to Senior Officers in the light of findings nationally of serious financial failings in respect of the audit by Grant Thornton of the Company ‘Patisserie Valerie’ and it was essential that the Audit and Governance Committee, and the wider public generally, had confidence in the retention of Grant Thornton as the Council’s auditors. A link to the terms of a judgement made against Grant Thornton had subsequently been provided for reference to members of the Committee.

Grant Thornton informed the Committee that they had fully co-operated with the 2018 investigation, and fully accepted its findings. Since then they had invested heavily in improvement of their Commercial Audit systems. Grant Thornton retained a significant involvement in auditing local Councils and had received positive responses to their revised direction of travel in the form of their new approach and supported by the additional training described. A Press Release was expected shortly and a link to this would be circulated to all Members.

A formal response in writing from Grant Thornton to the issues raised by the Chairman was expected through the Head of Audit and Management Assurance and would be made available to the Committee and to Senior Officers to evidence that Grant Thornton had properly responded to the situation and that proper and appropriate reassurances had been provided.

Audit Progress Report

The Head of Audit and Management Assurance presented a report, a copy of which had been circulated to each Member and a copy of which appears as Appendix 'H' to these Minutes in the Minute Book.

The report provided an update for the Committee on progress made by Grant Thornton, as the Council’s appointed External Auditors, in delivering their responsibilities. The report stated that the proposed target completion date for their fieldwork was 30 November with the aim of providing their opinion on the financial statements by the end of December 2021. Reasons for the delay in issuing the opinion against the target date of 30 September 2021 were explained. The report also included a summary of the Grant Thornton ‘What can be learned from Public Interest Reports?’ publication together with a link to the full publication.

RESOLVED that the Audit and Governance Committee notes the External Auditor’s progress to date in delivering their responsibilities and the sector update provided.

Voting: Unanimous

The Chairman thank the representatives from Grant Thornton for their contributions to the meeting.