Issue - meetings

Report of Internal Audit Manager

The Committee received the report of the Internal Audit Manager to advise Members of the outcome from a self-assessment review against Public Sector Internal Audit Standards (PSIAS) as a contribution to the annual review of Internal Audit effectiveness, and to seek endorsement for an updated Quality Assurance and Improvement Programme (QAIP).

An initial self-assessment had been carried out in 2014 against the 334 lines included in the PSIAS and the associated Local Government Application Note (LGAN), and identified 306 points where compliance had been achieved, or was not applicable.  Non-compliance had been identified in two instances and partial compliance in 26 instances.

A further annual self-assessment had been undertaken in 2015 in accordance with the QAIP.  Of the 334 lines in the PSIAS/LGAN, compliance had been achieved in 310 instances; non-compliance had been demonstrated in two instances and action was proposed in the next six months to address those matters; partial compliance was now demonstrated in 22 instances.

Members were updated on the areas assessed as falling short of full compliance in the previous review and a revised action plan to address them.

Officers felt that, from the information reported, Audit Committee could take reasonable assurance that Internal Audit was operating effectively, and reliance could be placed on its reports and work in considering the overall effectiveness of governance arrangements.  No significant deviations from the standards or other issues regarding effectiveness had been identified, which would warrant disclosure in the Governance Statement.

In future, the annual statement on compliance with the PSIAS/LGAN and progress with associated action plans would be incorporated in the Internal Audit Manager’s annual report to the June meeting of the Audit Committee.  This action would bring practices in line with the standards set out in the PSIAS and LGAN. 

With reference to the QAIP, the contents of the document endorsed by the Audit Committee on 17^th September 2014 had not changed for the current year.

It was proposed by Councillor Sherlock and seconded by Councillor Whitaker:

“That the recommendations set out in the report be approved.”

Upon being put to the vote, Members voted unanimously in favour of the proposition, whereupon the Chairman declared the proposal to be carried.

Resolved:

(1)        That the Internal Audit Manager’s conclusions from the self-assessment exercises be accepted as evidence that Internal Audit is operating effectively and the Committee can therefore place reliance on Internal Audit’s reports and work when considering the overall effectiveness of the Council’s governance arrangements. 

(2)        That the Internal Audit Quality Assurance and Improvement Programme (QAIP) for 2015/16, presented at Appendix B to the report, be noted and endorsed.