Decision details

Karen Murray, Director for Grant Thornton, presented the report on the External Audit's Annual Audit Letter. The Annual Audit Letter summarised the outcome of External Audit's work in 2013/14. It included the key messages in relation to the financial statements audit and audit opinion, and Value for Money conclusion.

The Annual Audit Letter was intended to communicate key messages to the County Council and external stakeholders, including members of the public. External Audit's annual work programme, which included nationally prescribed and locally determined work, had been undertaken in accordance with the Audit Plan that External Audit issued in June 2014 and was conducted in accordance with the Audit Commission's Code of Audit Practice, International Standards on Auditing and other guidance issued by the Audit. The Annual Audit Letter had been reported to Cabinet in December 2014.

In relation to VfM the County Council had identified a number of fundamental weaknesses in its arrangements in relation to:

·  Two procurement processes;

·  The relationship with, and operation of, the County Council's strategic partnership and associated joint venture company; and

·  Salary payments made to the then Chief Executive of the County Council's joint venture company.

Members raised questions on these issues and it was noted further comment could not be made at this stage.

Resolved: That the External Auditor'sAnnual Audit Letter as now presented be noted.