1.1
This
report seeks to share with the Committee a draft consolidated
Action Plan tracking progress against recommendations arising from
the following external reviews of the Council:
·
Public Interest Report 2022- action plan previously agreed
by Audit Committee July 2023 and reviewed July 2024
·
Chartered Institute of Public Finance and Accounting
(CIPFA) Capital Assurance Report 2023
·
Local Government Association (LGA) Corporate Peer Challenge
Follow Up Review 2023- previously reported to Corporate Policy and
Resources Committee
·
Grant Thornton Annual Audit Report 2023-24
–Action Plan considered and approved by Audit Committee
February 2025
·
Grant Thornton Audit Findings Report 2023-24- Action Plan
considered by Audit Committee February 2025
·
Best
Value Inspection Report 2025
1.2
These
recommendations are designed to improve the governance, risk
management, value for money and financial accounting control
arrangements in place. It is important to monitor the
implementation of these recommendations to ensure that the
improvements are delivered.
2.
Key issues
2.1
Recommendation 9 of the Best Value Inspection (BVI) Report
published at the end of February 2025 on the Council states
“Improvement and recovery plan: The Council should
develop a comprehensive improvement and recovery plan, integrating
recommendations from KPMG, CIPFA, the LGA, and the external auditor
as per their January 2025 reports, with quarterly progress reports
to both the Audit Committee and the Corporate Policy and Resources
Committee, alongside an annual report to full
Council.“
Under
the Directions associated with the appointment of the Commissioners
the Council is required within six months to agree the Improvement
and Recovery Plan.
2.2
There
is a considerable overlap between the recommendations of the
various reviews, hence why it is agreed that it would be useful to
pull together the recommendations into a single consolidated action
plan summary. The direction of travel and speed of
implementation will be influenced by conversations with the
Commissioners as and when they are appointed.
2.3
As a
first step towards the single Improvement and Recovery Plan
required by the BVI process, officers have consolidated into a
single Consolidated Action Plan the various recommendations from
the relevant external reviews. The Action Plan is intended to
identify the lead responsible individuals at both a Councillor and
officer level, and to identify target timescales. It is anticipated
that this initial Consolidated Action Plan will in time be
superseded by a more developed Programme governance framework but
will aid initial discussions with the Commissioners.
2.4
The
draft Consolidated Action Plan has been discussed at the
Reorganisation and Transformation Board.
2.5
Progress against target dates will continue to be monitored
and reported back to the future meetings of both this Committee and
CPRC. A key measure of progress will be quarterly reports to the
Commissioners the external audit reports for 2024-25 and
2025-26.
2.6
The
draft Consolidated Action Plan is attached as Appendix A. Update
reportson the progress of the remaining actions and the
financial reporting
improvement plan overall willbe provided to the future Audit
and CPR Committee
meetings throughout the year,
with an annual report to Council
3.
Options
analysis and proposal
3.1
Option
1 – Consider the draft Consolidated Action Plan and to
acknowledge the progress to date.
3.2
Option
2 – suggestamendments to the attached Consolidated Action Plan and
acknowledge the progress to date.
3.3
Option
3 – do not accept the Consolidated Action Plan.
4.
Financial management
comments
4.1
A considerable number of the actions within the
Plan have a significant focus on financial issues. The Action
Plans seek to address the recommendations made.
5.
Risk management comments
5.1
The various external reviews identify a number of
key corporate risks. The Corporate Risk Register is being updated
to align and focus it on the risks identified in the reviews’
report. Officers have done an initial review to identify how the
Corporate Risk Register could be re-configured, which is in the process of being
amended.
6.
Procurement comments
6.1
A
number of the reviews recommendations focus on procurement
efficiency.
7.
Legal comments
7.1
Pursuant to Section 151 of the Local Government Act 1972
the Council is under a general duty to make arrangements for the
properadministration of their financial affairs.
7.2
The
Council has a statutory requirement to engage fully with the
Commissioners and ensure that the BVI Recommendations are
delivered.
7.3
Section 3 of theLocal Audit and Accountability Act 2014
requires the Council to keep adequate accounting records and to
prepare a statement of accounts in respect of each financial year.
The Accounts and Audit Regulations 2015 contain various
requirements in relation to the Council’s statement of
accounts which the Council must comply with.
7.4
Audit
Committeeoversees the Council’s financial reporting
process,and more particularly it is within the Committee’s
remit to “Seek assurances that action is being taken on risk
related issues identified by auditors and inspectors”. This
report seeks to provide such assurances in relation to the matters
previously raised within the external auditor’s Annual Audit
Report.
8.
Otherconsiderations
9.
None.
10.
Equality and Diversity
10.1
Good
governance underpins the ability to make decisions to address
appropriately. The Equality, Diversity & Inclusion (EDI)
policyis in place and a full strategy to be developed, However, all
projects should have undertaken an equality diversity and inclusion
impact assessment to ensure the project meets EDI requirements this
is monitored in the implementation of a project.
Sustainability/Climate Change Implications
10.2
Good
governance underpins ability to make decisionsto address the
challenges of sustainability and climate change.
11.
Timetable for implementation
11.1
Action
Plans continue to be on the Audit Committee ForwardPlan as standing
item
12.
Contact
·
Daniel
Mouawad – Sponsor of the overall programme;
dcm.cex@spelthorne.gov.uk
·
Terry
Collier– t.collier@spelthorne.gov.uk
,
·
Lee
O’Neil, Deputy Chief Executive - l.o’neil@spelthorne.gov.uk
·
Linda
Heron, Monitoring Officer – l.heron@spelthorne.gov.uk
Please submit any material
questions to the Committee Chair and Officer Contact by two days in
advance of the meeting.
Backgroundpapers:
KPMG Public Interest Report
2022
Local Government Association
Corporate Peer Challenge Review Follow Up report
CIPFA Capital Assurance
Report
Annual Audit Report
2023-24
Audit Findings Report
2023-24
Best Value Inspection Report
2025
Appendices:
Appendix A
–
Consolidation Action
Plan for Improvement and Recovery Action Plan
Audit
Committee [CPRC 12th]