The report of the Head of Audit and Risk Management is enclosed.

The Committee received a report of the Head of Audit and Risk Management which discussed progress on the agreed audit plan 2022/23; additional work assigned to the Audit service and copies of the audit opinions issued in the period October 2022 to the end of January 2023.

The report provided information on:

• The Audit Plan and Delivery;
• Resourcing and Planning considerations
• Management Oversight and Supervisions, Foster Care Payments, Early Years Casework Management Compliance, Supporting People, Safe Recruitment, Schools Financial Health Checks and Follow up Audits (Children’s Services and Education Directorate)
• Payments, Disabled Facilities and Adaptations, Quality Assurance Framework (Directorate for Adults)
• Core, ICT and Information Governance (Corporate Core and Information Governance)
• Building Control, Housing Services: Empty Properties and Voids, Assurance Framework, Damp and Mould in Council and Private Rented Sector Homes (Neighbourhoods; Growth and Strategic Development Directorates)
• Adult Social Care Contract Governance, Social Value Monitoring, Other Assurance, (Procurement, Contracts and Commissioning)
• Proactive and investigations; including ‘other reactive investigations’ in respect of Business Grants, Council Tax Reduction Scheme and Housing Tenancy (Counter Fraud and Investigations)

With regard to risk management arrangements in the maintained schools sector, the Head of Audit and Risk Management described a mixture picture with findings of limited assurance as well as positive examples where all audit recommendations had been implemented. There was a discussion about safer recruitment arrangements in schools. Noting reference to gaps in knowledge about Human Resources (HR) compliance requirements, the Committee discussed the appropriate steps to satisfy assurance arrangements alongside and the Local Authority’s role of support and challenge. With regard to the challenges around finance functions, in particular for small schools, the Committee discussed the role of organisational compliance culture. A number of options on how to address gaps in knowledge were put forward including the outsourcing of certain back office functions to ensure statutory compliance.

The Chair noted the information reported on cyber training and requested that should any concern be identified this should be relayed to the Standards Committee to ensure that the risk is sufficiently ameliorated.

The Committee agree to schedule a report on audit and risk management is conducted for local authority maintained schools. The Chair also requested that the next scheduled assurance report, includes an update on housing with particular reference to the management of voids, damp and mould and the role and relationship with the Housing Advisory Board.

The Head of Audit and Risk Management responded to questions about changes to the Audit Plan, specifically those amended or deferred, and the reasons for those decisions.

Noting the amended framework for the planned audit of Housing Services, the Committee agreed to add a report on the (housing-wide) Improvement Plan with particular reference to governance and compliance principles to its future Work Programme.

The Head of Audit and Risk Management agreed to explore ways to raise awareness about the Social Value Fund through the Member Development programme.

Decision

1.    To note the report.

2.    To schedule a report to the Committee’s future work programme on the audit and risk management in the Local Authority maintained schools sector.

3.    To schedule a report to the Committee’s future work programme which discusses governance and compliance practices arising from the housing-wide Improvement Plan.

4.      To note that The Head of Audit and Risk Management shall explore ways to raise awareness about the Social Value Fund through the Member Development programme.