Issue - meetings

This report sets out the Internal Audit Charter and the Audit Plan for 2024/25. Approval of these documents by the Audit & Governance Committee is a requirement of the Public Sector Internal Audit Standards (PSIAS).

Some minor amendments have been made to the Internal Audit Charter which includes an updated Data Analytics Strategy.

The final Internal Audit Plan for 2024/25 has been produced which includes some minor amendments from the version provided to the Audit & Governance Committee in January 2024. Completion of the plan will enable the Head of Audit & Management Assurance to provide an annual opinion on the adequacy and effectiveness of the Council’s control environment.

The allocated budget resource for 2024/25 is considered adequate to deliver the Internal Audit Charter and Audit Plan for 2024/25.

The Head of Internal Audit presented a report, a copy of which had been circulated to each Member and a copy of which appears as Appendix 'B to these Minutes in the Minute Book. The report set out the Internal Audit Charter and the Audit Plan for 2024/25. The Committee needed to approve these documents as a requirement of the Public Sector Internal Audit Standards (PSIAS).  The Committee was informed that some minor amendments had been made to the Internal Audit Charter which includes an updated Data Analytics Strategy.

The final Internal Audit Plan for 2024/25 included some minor amendments from the version provided to the Audit & Governance Committee in January 2024. The completion of the plan would enable the Head of Audit & Management Assurance to provide an annual opinion on the adequacy and effectiveness of the Council’s control environment.

The allocated budget resource for 2024/25 was considered adequate to deliver the Internal Audit Charter and Audit Plan for 2024/25. The Committee was advised of the process for ensuring the independence of Chief Internal Auditor in respect of the other services they managed.

The Committee asked how the allocation of audit hours related to the corporate and operational risk registers. In response the Committee was advised that the allocation of days was broadly on budget and a professional assessment. Children services was already under external inspections and an improvement board and therefore there tended to be less work in this area as formal assurance process was in place externally.

There was no resource allocated for 2024/25 for the allocation of grants which was an area which may be impacted by fraud. There was a process for the approval of grants which had to be signed off by the Head of Internal Audit and the Chief Executive. Risks around grants would be reported within the quarterly update to the A&G Committee if required.

As scoping was not completed for each audit it was explained that the determination of allocated days was planned at the start of the year to be strategic and set out a broad allocation. Certain key assurance functions were planned in and the time requirements were known on annual basis for some functions. However, there was a need to be more dynamic in the approach to high-risk functions and these would be addressed in an initial meeting between auditors and Service Directors.

RESOLVED that

•        the Internal Audit Charter be approved and that the Chair sign the document to record this approval (this may be a virtual sign off using email).

•        The Internal Audit Plan 2024/25 including the detailed breakdown of quarter 1 audits be approved

note the 2024/25 budget for the Internal Audit service which was approved by Council as part of the 2024/25 Council Budget setting and Medium Term Financial Plan update in February 2024

Voting: Nem. Con