The Head of Regional Internal Audit Service presented a report that provided the Head of Internal Audit’s Annual Opinion on the Council’s control environment in relation to governance, risk management and internal control and to inform the Audit Committee of the work and performance of Internal Audit for the Financial Year 2019-20.

The Public Sector Internal Audit Standards require the Head of Internal Audit to provide an Annual Report to support the Annual Governance Statement. The report should cover the 5 bullet points as listed in paragraph 3.1 of the report

The 2019-20 Internal Audit Plan was submitted to the Audit Committee for

consideration and approval on the 18th April 2019 and identified audit work planned for that particular year.

The Internal Audit Annual Report was at Appendix A to the report, which summarised the reviews undertaken during 2019-20 including any counter fraud work, the recommendations made and any control issues identified. A total of 35 reviews were completed with an audit opinion and a total of 103 medium and high recommendations made. A detailed breakdown is included at Annex 1 of the appendix.

Progress against the 2019-20 Risk Based Plan was attached at Annex 2 to the report, which illustrated that the majority of planned audit reviews have been undertaken during 2019-20, despite the reduced staffing resources.

Taking into account the results of the internal audit reviews completed during 2019-20, the recommendations made and considering other sources of assurance the Head of Internal Audit’s annual opinion on the adequacy and effectiveness of the Council’s framework of governance, risk management and internal control for 2019-20 is of reasonable assurance. No significant cross-cutting control issues have been identified that would impact on the Council’s overall control environment and the weaknesses identified are service specific.

The Head of Regional Internal Audit Service then, for the benefit of Members, went through some of the key areas of work contained in the Annual Internal Audit Report 2019/2020, appended to the covering report.

A Member asked that in relation to Section 3 of the Appendix where limited assurance opinions were identified, if additional information could be provided to the Committee.  Specifically, with regards to Contract Management, the Member asked if information about the Contracts involved, together with financial information and the identified issues could be provided to Members.

The Chairperson closed debate on the item by advising Officers that with the change to the way the Council was now working in light of the pandemic etc, proactive engagement needs to continue between departments and service areas within the Authority and Internal Audit in relation to internal controls and working practices. . This could then be shared with Members as appropriate.

RESOLVED:                       (1)  That Members gave due consideration to the Annual Internal Audit Report for the Financial Year 2019-20, including the Head of Internal Audit’s Annual Opinion on the Council’s control environment in relation to governance, risk management and internal control.

                                            (2) That the Head of Internal Audit provide detail to the Members in relation to the Contract Management report.