Issue - meetings

To receive the External Audit Annual Plan for 2018/19 issued by BDO.

Leigh Lloyd-Thomas, BDO, presented an overview of the external audit plan for 2018/19, outlining the risks to be assessed, the reasons for examining them, and their planned approach.

Mr Lloyd-Thomas advised that BDO, as parent auditor, would look at KGE Ltd from the group consolidation position.  They took a different view from KPMG with regard to exemption of KGE Ltd, as a subsidiary company, from an audit, however it was good practice to have one.  The Chief Finance Officer advised that it had not been practical to do so for the last financial year due to the tight closing timescale and the need to close and consolidate the group accounts, however, it was planned to do so in the future, particularly in view of the potential increase in volume of activity in forthcoming years.

Mr Lloyd-Thomas advised that BDO were unable to view the 2017/18 audit file until KPMG had completed their Value for Money statement.  Interim work had proved difficult as Spelthorne officers had been busy with KPMG work.  It was hoped that BDO would be in a position to report back to the Audit Committee in September 2019 as transactional work would be completed by then, however it would depend on KPMG’s work being finalised.

Resolved to note the external audit plan.