Issue - meetings

To aid compliance with the Public Sector Internal Audit Standards and to ensure early consultation with the Audit & Governance Committee, this report outlines the BCP Assurance Framework and the proposed approach for the 2023/24 Internal Audit Plan.

The Assurance Framework has been updated in line with the best practice ‘Three Line’ model which explains how key organisational roles work together to facilitate, and provide assurance upon, strong governance and risk management. Sixteen key assurance functions have been identified (such as Risk Management and Information Governance). For each of these, it shows the ‘first line’ (those with management responsibility for implementing risk management and governance processes), the ‘second line’ (corporate and management oversight, including advice, expertise and compliance), and the ‘third line’, Internal Audit. It also shows where some external assurance sources exist. The Assurance Framework is also used to help develop the Internal Audit Plan.

The proposed 2023/24 Internal Audit Plan approach shows the amount of resource to provide core audit work (including high risk, key assurance and key financial audits) and fraud work and subject to budget approval will remain materially the same as 2022/23. This resource is considered sufficient resource to be able to deliver the Chief Internal Auditor’s Annual Opinion. There will be a minor decrease in overall level of resource, mainly due to the reduction in use of agency staff, and some minor variances in resource allocation, for example, to support the Council’s equality work.

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 'E' to these Minutes in the Minute Book.

Members were reminded that the report represented an opportunity to consult with the Audit and Governance Committee before bringing a final report back to the Committee in March 2023. In compliance with the Public Sector Internal Audit Standards the report outlined the BCP Assurance Framework and the proposed approach for the 2023/24 Internal Audit Plan.

It was reported that the Assurance Framework had been updated in line with the best practice ‘Three Line’ model which explained how key organisational roles should work together to facilitate, and provide assurance upon, strong governance and risk management.

Sixteen key assurance functions had been identified and, for each of these, ‘first line’ responsibility for management of risk management and governance processes had been identified. The ‘second line’ set out corporate and management oversight, including advice, expertise, and compliance, and the ‘third line’, Internal Audit. It also identified those instances where some external assurance sources existed. It was explained that the Assurance Framework was also used to help develop the Internal Audit Plan.

The proposed 2023/24 Internal Audit Plan approach showed the amount of resource required to provide core audit work (including high risk, key assurance and key financial audits) and fraud work and, subject to budget approval, would remain materially the same as 2022/23.

This resource was considered sufficient to be able to deliver the Chief Internal Auditor’s Annual Opinion. It was noted that there would be a minor decrease in overall level of resource, mainly due to the reduction in use of agency staff and some minor variances in resource allocation, for example, to support the Council’s equality work.

The Committee commented on the high level allocation of resource and delivery approach within theproposed draft 2023/24 Internal Audit Plan.

RESOLVED that Audit and Governance Committee agrees the BCP Council Assurance Framework.

Voting: Unanimous