Agenda item

The Committee received a Business Assurance Strategy update which included progress against the 2023/24 internal audit plan. The report provided an update on the internal audit work being undertaken by the Business Assurance Team against the approved 2023/24 plan. The 2023/24 Internal Audit Plan had been reviewed to identify the key audit activities to be delivered considering the priorities within the directorates and working around any key service priorities. Delivery of the overall Business Assurance work plans, including internal audit, helped ensure that there was an appropriate governance and control framework in place and that risk management was embedded across the Council to enable the achievement of set objectives. Ms Maggie Gibb, Chief Auditor and Head of Business Assurance presented the report.

During discussion, points raised included:

·   Quarter four was a busy period for the team, and several significant reviews were in progress as highlighted in the report. Members were advised that there had been a focus on the delivery of risk management training sessions across the organisation to ensure officers remained aware of their roles and responsibilities in relation to risk management. The Risk Champions Network had been reintroduced which consisted of at least one risk champion for each directorate and allowed best practice to be shared which further embedded risk management processes.

·   At the time of this meeting, four internal audits had been finalised since the last meeting, nine were at draft stage and there were nine engagements underway. Five grant certifications had also been completed.

·   The Committee heard that the Institute of Internal Auditors had recently issued the revised International Professional Practices Framework, which included the new Global Internal Audit Standards. CIPFA had not yet clarified whether the Public Sector Internal Audit Standards (PSIAS) would be amended to reflect these new standards, however further information would be provided to the Committee as implications became known.

·   The Business Assurance Team had carried out a self-assessment against the PSIAS and confirmed that the team conformed with the standards.

·   It was noted as a positive that 86% of outstanding management actions had been completed, and good progress was reported on school related management actions with 93% of those outstanding having been completed. Thematic audits on common school themes would commence from Q1 of 2024/25, with discussions due to be held between business assurance and the newly appointed Service Director for Education.

·   The Committee queried the deferred housing and regulatory services internal audits, and suggested this was a priority area due to budget pressures and the long waiting time for those on the Home Choice register. Assurance was given that the audit would be undertaken in 2024/25, and in the meantime the business assurance team would undertake assurance work to assess interim delivery of the services transformation programme and identify weaknesses ahead of the internal audit.

·   In relation to the medium to low-risk internal audits, it was explained that due to resources these were the audits that would be undertaken as capacity allowed, although they were not deemed a high priority so there were no definitive timescales around their commencement. Audits were reassessed to reflect priority areas as the internal audit plan was fluid.

·   Members were advised that recruitment to the assurance lead post had been unsuccessful, and the risk manager was picking up this work at present whilst it was reviewed further as to whether this was the best role to recruit to or whether the structure could be revisited.

·   Members highlighted the importance of contract management and queried how the internal audit would capture contracts across the whole council. It was explained that the internal audit could only look at a sample with findings then shared wider across the supplier relationship network. Many contract managers who used the contract management system undertook best practice self-assessments to drive good practice.

RESOLVED:

That the report be noted.