To consider the annual report to those charged with governance on the overall adequacy and effectiveness of Central Bedfordshire Council’s financial and other management internal controls.

The Committee considered the annual report of the Head of Internal Audit and Risk to those charged with governance on the overall adequacy and effectiveness of the Council’s financial and other management internal controls.

Points and comments included:

·         The Chairman sought clarification regarding those planned audits in 2017/19 which had been cancelled.  In response the Head of Internal Audit and Risk explained that they had been cancelled for a range of reasons including Internal Audit team capacity and timing, when it was no longer considered appropriate for an audit to take place.  The Director of Resources stressed that service areas were not permitted themselves to defer or cancel audits.  An informal risk assessment was carried out on proposed deferrals and if a risk of fraud was identified the audit would continue.

·         A Member commented that, with regard to the rolling programme of school reviews, only one school had been completed.  In response the Head of Internal Audit and Risk stated that the standard approach had been followed and five other reviews were currently in progress.

·         Following a query by the Chairman the Head of Internal Audit and Risk stated that appointments had been made to two vacant positions within the Internal Audit team and staff numbers were now up to strength.

·         A Member queried how difficult it was to achieve a Full Assurance opinion following a review and how often that happened.  In reply the Director of Resources explained that achieving a Full Assurance opinion was difficult as it could be interpreted as ‘nothing could go wrong’.

·         The Vice-Chairman referred to the review of Swift Financials and how the software related issues had originally been raised under the Bedfordshire County Council (legacy authority) some 10 years earlier.  He stressed the need to make progress.  In response the Head of Internal Audit and Risk stated that he was unaware of the historical context but assured Members that management would be looking to address the control weaknesses as part of the coming project to replace the current software.

NOTED

that the Head of Internal Audit and Risk’s opinion on the Council’s Internal Control environment continues, overall, to be adequate.