Issue - meetings

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

The report states that, as previously reported, a number of matters had arisen that delayed completion of their 2020/21 opinion audit. Work has now been substantially completed however there are two key areas that have impacted on the revised completion timetable of the end of February 2022 covering pension liabilities assurance from the Pension Fund auditor and national infrastructure accounting issues.

Grant Thornton intends to keep Audit & Governance Committee appraised of progress towards completion of the audit.

The Assistant Chief Financial Officer introduced a report presented by the Council’s External Auditors, Grant Thornton, a copy of which had been circulated to each Member and a copy of which appears as Appendix 'D' to these Minutes in the Minute Book.

The report provided an update as at July 2022 on progress in completing the 2020/21 Financial Statements Audit Opinion for BCP Council and the Committee was advised that the previously reported issues were still causing delay and preventing sign-off of the Accounts. Although significant effort continued to be applied, including additional pressure from the Council’s Officers and senior Councillors, there had been very little progress since the April meeting of the Committee. The two outstanding issues, which were outside the control of the External Auditors or of BCP Council, continued to be related to an unresolved national issue regarding the valuation of infrastructure assets and to a more local issue relating to receipt of a required letter of assurance from the Auditor of the Dorset Pension Fund.

The Committee received, once again, background information about these two issues and the Chairman of the Committee was monitoring the position and being kept closely informed on the Committee’s behalf. The Chairman undertook to convene further meetings with those involved.

The Committee continued to express their concern about the situation but assurances were provided that everything possible was being done. The External Auditors were questioned by Members about the nature and availability of alternative ways forward but the response from Grant Thornton was to reconfirm their commitment to complete the audit in the established manner.

On other matters, Grant Thornton reported that the 2020/21 audit was progressing well and that a report would be brought to the next core business meeting of the Committee.

RESOLVED that Audit and Governance Committee notes the report from External Auditors, Grant Thornton, relating to the 2020/21 Financial Statements Audit and Statement of Accounts.

Voting: Unanimous