Issue - meetings

To consider the Executive Head of Finance’s Report (copy to follow) which seeks approval for the Council’s Statement of Accounts 2018/19 and summarises the findings of the Council’s auditors, Ernst & Young, in carrying out their audit work in relation to the 2018/19 financial year.  A representative from Ernst & Young will be in attendance to present their Audit Results Report 2018/19 (copy to follow).

The Committee welcomed Andrew Brittain and Justine Thorpe from Ernst & Young (EY).  Mr Brittain presented the company’s revised Audit Results Report, which summarised EY’s audit conclusion in relation to the audit for 2018/19.

The Committee was reminded that most of the outstanding audit issues had been resolved previously with EY, with adjustments made to the accounts by Officers.  However, the outbreak of the Coronavirus pandemic had given rise to a Post Balance Sheet Event (PBSE) as it posed an ongoing risk to the Council’s financial standing.  In order to complete the Accounts and Audit Opinion process, the Statement of Accounts needed to include a detailed Disclosure Note that addressed the impact on the Council’s finances from Covid-19 and consideration of the Going Concern basis. 

The Committee received the Executive Head of Finance’s Report No. FIN2028 which provided Members with an update on audit progress for the Council’s Statement of Accounts for 2018/19 and on the provision of audit opinion since the last meeting on 28th July, 2020.

It was noted that an updated Disclosure Note had been sent to EY on 25th September, 2020.  Once this had been reviewed by EY, it was expected that a final audit opinion and audit results report would be received in early October 2020.  It was proposed that, in order to finalise the Statement of Accounts process and receive the external Auditor’s Report, authority was delegated to the Chairman and to the Executive Head of Finance to approve formally and certify the audited Statement of Accounts and receive the External Auditor’s Report from EY.  Members would be provided with a copy of the final draft documents in advance to give them a limited opportunity to ask questions and seek clarification on matters identified in the report.

During discussion, the Executive Head of Finance responded to questions on the Corporate Risk Register and management of the Risk Management process.

RESOLVED: That, subject to Members of the Committee being provided with a copy of the audited Statement of Accounts and the Audit Results Report in advance, the Chairman of the Committee and the Executive Head of Finance be authorised to approve formally and certify the audited Statement of Accounts 2018/19 and to receive the External Auditor’s Report.