Agenda item

Report of the Director of Finance and Resources

The Audit and Procurement Committee considered a report of the Director of Finance and Resources, which provided an update on the internal audit activity for the period April to September 2024, against the Internal Audit Plan for 2024-25.  The report was the first monitoring report for 2024-25 and was presented in order for the Audit and Procurement Committee to discharge its responsibility 'to consider summaries of specific internal audit reports as requested' and 'to consider reports dealing with the management and performance of internal audit'.

The key target facing the Internal Audit Service was to complete 90% of its work plan by the 31st March 2025.  As at the end of September 2024, the Service had completed 33% of the Audit Plan against a benchmark of 50% (which reflected delivery of 100% of the Plan).  It was recognised that performance was below expectation, although the quarterly targets did not take account of the varying length of audits and as such performance would vary across the year.  It was also apparent that performance had been impacted by vacancies within the Internal Audit structure. Whilst the Audit Plan for 2024-25 took account of this in terms of available audit days, draft reports were taking longer to turn round due to competing management demands. However, notwithstanding this, based on an assessment of performance as at early November 2024, it was predicted that the Service are on track to meet its target by the end of March 2025.

It was noted that whilst the Annual Audit Plan was agreed at the start of the financial year, this may be subject to change as a result of emerging risks, requests from service areas to reschedule work, and any exceptions.  It was important that the Internal Audit Service retained a flexible approach in order to ensure it could respond to issues on a timely basis and add value.  Any significant changes would be reported to the Committee.

Appendix 1 of the report provided a list of the audits finalised between April and September 2024, along with the level of assurance provided.  As at 30th September 2024, the following audits were in progress:

·  Payment Kiosks

·  Housing Benefit Subsidy

·  Group Governance Review

·  New Working Arrangements in Waste Services,

·  CareDirector post upgrade assurance

·  Equality Impact Assessments

·  Emergency Planning / Business

·  Implementation of new IT systems

·  Henley Green Primary School

·  Howes Primary School

·  Sowe Valley Primary School

·  Willenhall Primary school

·  Disabled Facility Grant Service Review

·  Health Visitors Contract

·  Energy Billing

·  S17 Payments

Details of a selection of key reviews completed in this period were provided at Appendix Two. In all cases, the relevant managers had agreed to address the issues raised in line with the timescales stated.  These reviews would be followed up in due course and the outcomes reported to the Committee.

RESOLVED that, the Audit and Procurement Committee:

1.  Note the performance at quarter two against the Internal Audit Plan for 2024-25.

2.  Considered and note the summary findings of the key audit reviews attached as Appendix two to the report submitted.